Rajan has no degree in economics, Patel has a PhD: Swamy

Expressing his approval over the selection of Urjit Patel as the new Reserve Bank of India (RBI) Governor, Bharatiya Janata Party (BJP) leader Subramanian Swamy has said that he has high hopes from Raghuram Rajan's successor.

Speaking to ANI here, Swamy said Patel was Rajan's deputy for many years, which is why his next post should not feel new to him.

"He (Patel) has a PhD in economics and a degree from Yale, Raghuram Rajan had no degree in economics. After engineering, he did management. He did not have the general equilibrium regarding economics. Urjit Patel has been the deputy governor for so many years now, so this will not be new for him. I have high hopes from him," Swamy said.

Rajan announced that he would return to academia 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.

Swamy, who has been one of the chief critics of Rajan, welcomed the latter's decision and said that he was not even getting a second term in the first place.

Swamy also told ANI that Rajan made this decision to save his self respect.

Finance Minister Arun Jaitley said that the Centre respected Rajan's decision and appreciated the 'good work' done by him.

Patel's appointment had been made on the recommendation of the Financial Sector Regulatory Appointment Search Committee (FSRASC) headed by Cabinet Secretary Pradeep Kumar Sinha.

The committee undertook an extensive exercise to suggest a panel of names to the appointment committee of cabinet (ACC).

He will be the eighth Deputy Governor to be made RBI Governor.