New RBI Governor Shaktikanta Das buys time as worries on autonomy linger

"RBI is clearly trying to let matters cool before making any further decisions on these fronts."

The Reserve Bank of India’s board on Friday bought more time to review the government’s demand for a greater say in the central bank’s functioning, one of the issues that had fostered hostilities between the two sides.

“The board deliberated on the governance framework of the Reserve Bank and it was decided that the matter required further examination,” the central bank said in a statement after the meeting in Mumbai.

The status quo will for now reassure investors about the central bank’s autonomy, as the new Governor Shaktikanta Das was seen as someone more amenable to the government’s requests. Prime Minister Narendra