Shakti Kanta Das Bids Farewell as Sanjay Malhotra Takes Charge as RBI Governor

Shakti Kanta Das, the 25th Governor of the Reserve Bank of India (RBI), concluded his impactful tenure, leaving a legacy of transformative leadership. His successor, Sanjay Malhotra, has now taken charge, focusing on ensuring policy continuity and tackling emerging financial challenges.

Das’s Legacy
Assuming office in December 2018, Das played a pivotal role in navigating India’s financial system through critical events like Demonetization and the Goods and Services Tax (GST). During the COVID-19 pandemic, he prioritized economic revival by slashing repo rates by 135 basis points, stabilizing the economy during turbulent times.
Das’s tenure was marked by targeted efforts to curb inflation, which breached 6% in 2022 due to external shocks like the Ukraine war. He successfully brought inflation within the RBI’s target range while maintaining liquidity to support growth.
Key achievements include introducing digital lending guidelines for consumer protection, addressing systemic risks in unsecured loans, strengthening capital requirements for NBFCs, and boosting foreign exchange reserves to a record $704.89 billion.

Malhotra’s Vision
Sanjay Malhotra, an experienced bureaucrat, aims to build on Das’s legacy. He pledged to focus on inflation management, cryptocurrency regulation, and digital banking innovations. Malhotra emphasized resilience and stability in India’s financial system amid global uncertainties.

The Way Forward
As the RBIcontrol and to new leadership, Malhotra faces the challenge of balancing growth, inflation control, and fostering financial inclusion. His leadership will be pivotal in sustaining the RBI’s progress while addressing emerging economic needs.
Both Das and Malhotra have underlined the importance of strategic decision-making, ensuring the RBI remains a cornerstone of India’s economic stability.