Centre gives consent to one-year term extension of RBI Deputy Governor

The term for the Reserve Bank of India (RBI) Deputy Governor M Rajeshwar Rao has been extended by a year by the government on Monday as per, media sources.

This decision for the re-appointment of M Rajeshwar Rao as the Deputy Governor Reserve Bank of India was approved by the Appointments Committee of the Cabinet for a period of one year with effect from October 9, 2023, they said.

In 2020 Rao was appointed as the Deputy Governor in October 2020 for a period of three years. Before taking up the position of deputy governor, he was elevated to the RBI executive director in November 2016, as per sources.

Deputy Governor of RBI

M Rajeshwar Rao is an economics graduate and a Master of Business Administration from the University of Cochin. He joined the central bank in 1984.

Throughout his career in banking, Rao has had exposure to various aspects of the RBI’s functioning. He has previously held the charge of the Risk Monitoring Department.

Apart from this Rao has also worked in the Banking Ombudsman in New Delhi and the Reserve Bank’s regional offices in Ahmedabad, Hyderabad, Chennai and the national capital.

The RBI Act 1934 suggests that there should be four deputy governors which includes two from within the ranks, one commercial banker and another an economist to head the monetary policy department in the central bank.