Jain, who has been a banker for more than three decades now, has been at the helm of affairs at IDBI Bank since March 2017.
The government on Monday appointed IDBI Bank managing director MK Jain the new deputy governor of Reserve Bank of India (RBI), filling up the post that was lying vacant since July last year after SS Mundra’s tenure came to an end. In a tweet, financial services secretary Rajiv Kumar said: “Government appoints experienced banker Mahesh Kumar Jain, MD and CEO of IDBI Bank as deputy governor of RBI for a term of three years.” A search committee, headed by the cabinet secretary, interviewed candidates, including three senior bureaucrats, on May 10.
Jain, who has been a banker for more than three decades now, has been at the helm of affairs at IDBI Bank since March 2017. Prior to that, he headed Indian Bank for two years, having joined the bank as an executive director. Jain also served as general manager with Syndicate Bank. He began his banking career with Punjab National Bank. He will draw a salary of Rs 2.25 lakh per month, apart from allowances.
Currently, the RBI has three deputy governors— NS Vishwanathan, Viral V Acharya and BP Kanungo. The RBI Act stipulates that the central bank should have four deputy governors. Of them, two are usually from within the ranks (selected from executive directors of RBI), one a commercial banker and one an economist.
Jain has been on the boards of Exim Bank and National Institute of Bank Management. He has served as the secretary and coordinator to Basant Seth Committee on Review & Revamp of Internal & Concurrent Audit System in PSBs.
He was a member of the government constituted committee on public interest litigation on non-performing assets for submission to Supreme Court and redesigning Annual Performance Appraisal Report of PSB officers.
The finance ministry had received 37 fresh applications for the post of deputy governor. Apart from Jain, bankers who had applied for the post include SBI managing directors B Sriram and PK Gupta; Uco Bank executive director Charan Singh; skill development and entrepreneurship secretary KP Krishnan; NITI Aayog additional secretary Yaduvendra Mathur and Tamil Nadu principal secretary TV Somanathan.