Hope Patel''s resignation no sign of govt bid to destroy economy''s foundations: Manmohan

Tribune News Service
New Delhi, December 10

Former Prime Minister Manmohan Singh who is credited with the landmark opening up of the Indian economy in 1991 on Monday said he had received the news of RBI Governor's resignation with sadness and hoped the resignation was not a "harbinger of Government's attempts to destroy the institutional foundations of India's three trillion dollar economy".

"Building institutions take a long time and effort but they can be destroyed in a whimper. It is institutions such as the RBI, among many others that have served as the edifice of our great nation’s progress since independence. It will be foolhardy to diminish these institutions for short-term political gains," Singh said in a statement tonight.

He said it was with great sadness that he received the news of the resignation of the Governor of the Reserve Bank of India Dr Urjit Patel.

"I have known Dr Patel to be an economist of high repute and also someone who cared deeply about India’s financial institutions and economic policy. Dr Patel’s sudden resignation, at a time when the Indian economy is faced with many headwinds is very unfortunate and is a severe blow to the nation’s economy. There have been apprehensions expressed earlier by the Deputy Governor of the RBI about the government’s intent to raid the capital reserves of the RBI for fiscal purposes. I hope the resignation of the Governor is not a sign that this may soon become a reality," Singh noted.

He wished Patel success in future endeavours and said, "I also sincerely hope that this sudden resignation of the Governor is not a harbinger of the Modi government’s attempts to destroy the institutional foundations of India’s $3 trillion economy."