Conflicting policies with government responsible for Rajan's exit: Congress

Escalating his attack on the Centre, Congress leader Pramod Tiwari described its economic and foreign policy as a 'lost wanderer'

Dubbing Reserve Bank of India (RBI) Governor Raghuram Rajan's decision to not continue with his current post after the end of his tenure in September as 'unfortunate', the Congress on Sunday said it was due to the conflicting policies with the Bharatiya Janata Party-led NDA government at the Centre.

"The government, finance ministry and the Prime Minister's Office proposed changes in many policies to appease some industrialists.the RBI Governor was not happy with this. On the government's behalf, Subramanian Swamy had written letters as well. I think, hurt by this, Raghuram Rajan decided to work for the coming few months," Congress leader Pramod Tiwari told ANI.

Escalating his attack on the Centre, Tiwari described its economic and foreign policy as a 'lost wanderer'.

"In 2014, the debts of the industrialists were rescheduled. Its after-effects are evident even today. So, there was a conflict between Rajan as a Governor and the government. The government's policies were for the industrialists, while Rajan was focusing on the policies for the nation," he added.

Tiwari said BJP leader Subramanian Swamy, who took sides of the industrialists, had established the Janata Party, in which liquor baron Vijay Mallya was a part which made it evident that Rajan would take this decision.

"People like Subramanian Swamy, who takes sides of the industrialists, had established a party. Vijay Mallya is also in that party. Both of them were the co-founders of the party. So, it was evident that it will happen. This is unfortunate and definitely not in favour of the nation," he said.

Rajan yesterday announced that he would return to the academic world at the end of his term on September 4, 2016, adding he will always be available to serve his country when needed and asserted that his 'successor' would take the nation to new heights.

Rajan is currently on leave from the Chicago Booth School of Business where he holds the post of Distinguished Service Professor of Finance.