Demonetisation: Bank officers union calls for Urjit Patel's resignation; focus on RBI's role

The debate is now on Urjit Patel's role as the RBI governor in the demonetisation

FP Staff November 21, 2016 11:43:53 IST
Demonetisation: Bank officers union calls for Urjit Patel's resignation; focus on RBI's role

The All India Bank Officers Confederation has called for the resignation of Reserve Bank of India governor Urjit Patel, taking the moral responsibility for the current crisis in the country and the deaths of more than 50 people, including 11 bank officials, according to a report in The Indian Express.

"The present governor has utterly failed in his role by taking a crucial economic decision without planning, which has brought havoc to the nation’s economy and lives of the majority," D Thomas Franco, senior vice-president of the confederation, has been quoted as saying in the report.

Demonetisation Bank officers union calls for Urjit Patels resignation focus on RBIs role

Urjit Patel. Reuters

According to him, as neither prime minister Narnendra Modi nor finance minister Arun Jaitley is an economist, the RBI has economists who are capable of taking the right decisions on "matters relating to economy and people's lives".

In 1978, when the Janata government decided to demonetise, then RBI governor IG Patel had advised against it, he has pointed out.

With the confederation raising calling for the resignation of the RBI governor, the focus now seems to be shifting to the RBI's role in the development.

An article in Scroll today has pointed out that the RBI's silence over the last 13 days, when the common people went through serious hardships and the economic activities in both rural and urban areas almost ground to a halt, raises questions about on its independence.

"Urjit Patel, who took over from Raghuram Rajan as the Reserve Bank of India governor in August, has not found it necessary to make a single statement about the chaos that demonetisation has unleashed," the article says.

Firstpost columnist Yatish Rajawat has also raised the issue in an article today. "The shoddiness with which demonetisation has been executed should have been the responsibility of the RBI governor," he has said.

The article further argues that the developments over the last two weeks have shown that Patel is "grossly under-prepared for any task that requires quick decision-making".

Franco too is making this point when he says that the shoddy way in which the entire scheme has been executed shows that the central bank did not have a roadmap at all.

"It was very, very poor planning on the part of RBI that has led to this crisis," Franco has been quoted as saying in the reported.

Updated Date:

also read

Petrol and diesel price today 16 September 2021: Rates unchanged for 11th day; check price in Delhi, Mumbai here
India

Petrol and diesel price today 16 September 2021: Rates unchanged for 11th day; check price in Delhi, Mumbai here

Petrol and diesel prices: Petrol price in Delhi stands at Rs 101.19 per litre while diesel is available for Rs 88.62. In Mumbai, petrol is retailing at Rs 107.26 while diesel costs Rs 96.19

Petrol and diesel price today 14 September 2021: Rates static for 9th day; check price in Delhi, Mumbai here
India

Petrol and diesel price today 14 September 2021: Rates static for 9th day; check price in Delhi, Mumbai here

Petrol and diesel prices: Petrol price in Delhi stands at Rs 101.19 per litre while diesel is available for Rs 88.62. In Mumbai, petrol is retailing at Rs 107.26 while diesel costs Rs 96.19

Petrol and diesel price today 13 September 2021: Rates constant for 8th day; check price in Delhi, Mumbai here
India

Petrol and diesel price today 13 September 2021: Rates constant for 8th day; check price in Delhi, Mumbai here

Petrol and diesel prices: Petrol price in Delhi stands at Rs 101.19 per litre while diesel is available for Rs 88.62. In Mumbai, petrol is retailing at Rs 107.26 while diesel costs Rs 96.19