Ambit says RBI governor's performance 'above average but could have been better'

Reuters Market Eye - Domestic financial services firm Ambit issues a mixed report card on RBI Governor Raghuram Rajan and calls the central bank chief's macroeconomic management "almost exemplary".

Highlights of his tenure include calming the slide of the rupee last year, Ambit says, adding that Rajan is also focused "firmly" on inflation, though it still has not been enough to change inflation expectations.

But Ambit says supervision of the financial system "continues to be sub-par", saying Rajan needs to do more to spur banks to deal with their asset quality.

"Our assessment suggests that Dr. Rajan's performance in office was above average but could have been better," Ambit said.

(gaurav.pai@thomsonreuters.com/; gaurav.pai.thomsonreuters.com@reuters.net)