The RBI search panel will start the selection process for the new deputy governor from next week. Reports suggest that the panel may hold a meeting on September 15 to shortlist the candidate for the job. The new deputy governor will replace Urjit Patel, who was elevated to the post of Governor earlier this month. R Gandhi, S S Mundra, and N S Vishwanathan are the current deputy governors of RBI.
A six-member committee, comprising three members for inside, and three from outside RBI will select the deputy governor. The three internal members are the Governor, a Deputy Governor and an official as nominated by its board. Urjit Patel, who replaces Raghuram Rajan, is the 8th deputy governor to be elevated to the top post, with the last being Y V Reddy.
Second RBI Governor James Taylor (1937-1943) was the first one to serve as Deputy Governor before being made Governor. His successor for the top post and first Indian person to serve as RBI Governor, C D Deshmukh was also Deputy Governor before he became governor on the demise of his predecessor.
Rajan surprised everyone on June 18 about his decision against that he will not serve for a second term as central bank’s chief and return to academia. Rajan was also appointed for a period of three years, which has been the case for most Governors so far. Rajan’s tenure ends on September 4.