Urjit Patel's resignation a fallout of rift with Jaitley: CPI

RBI Governor Urjit Patel's resignation was a fallout of a rift between him and Union Finance Minister Arun Jaitley, CPI General Secretary S Sudhakar Reddy said on Monday.

Patel, who had a run in with the government over autonomy of the central bank, resigned from his job earlier on Monday, citing personal reasons. His resignation came 10 months before his three-year tenure was to get over.

"It should be an eye opener for the PM. Even Modi's own people are unable to digest these things. I believe this is a setback to Modi government and particularly to Arun Jaitley," Reddy said.

He claimed said that a rift with Jaitley was the actual reason behind Patel's resignation.

"I think he was very much attacked by Finance Minister Arun Jaitley and his company," he said.

The CPI leader further alleged that Patel was unable to digest the so called reforms introduced by the Modi government and as a result, he resigned.

"It should be an eye opener for the PM. Even Modi's own people are unable to digest these things. I believe this is a setback to Modi government and particularly to Arun Jaitley," Reddy said.

He alleged that more than the prime minister, the finance minister was responsible for pathetic economic situation of the country.

"Jaitley is destroying the economy of the country. His advice made the economy suffer," he alleged.

Patel, 55, who took over as the 24th Governor of the central bank on September 5, 2016, had the shortest tenure since 1992.