RBI Deputy Governor Michael Patra to Step Down in January 2025, Applications Open for Replacement
In a significant development, the Reserve Bank of India (RBI) has announced that Michael Patra, the current deputy governor responsible for monetary policy, is set to step down upon the conclusion of his term in January 2025. To fill the upcoming vacancy, the RBI has released an advertisement inviting applications for the position.
The advertisement, issued on Monday, outlines the criteria for potential candidates. The RBI is seeking individuals with a minimum of 25 years of experience in either public administration, holding a position equivalent to secretary or higher within the government, or in the realm of public financial institutions, be it Indian or international. Alternatively, applicants with an exceptional track record in relevant fields at the national or international level are also encouraged to apply.
The chosen candidate will be eligible for re-appointment and must be no older than 60 years of age as of January 15th. The successful applicant will receive a monthly salary of ₹ 2.25 lakh. The deadline for submitting applications is November 30th.
This news comes following the government’s decision to decline a request to extend Patra’s term for another year, as confirmed by a source familiar with the matter. Patra, a seasoned central banker, had previously received two extensions after his initial term concluded in January 2023.
As the deputy governor responsible for monetary policy and economic research departments, Patra plays a crucial role within the RBI. He is also the last remaining member of the monetary policy committee from 2016. Patra’s initial appointment as deputy governor took place in January 2020. Prior to that, he served as executive director of the RBI, overseeing the monetary policy committee, among other responsibilities.
In a separate development, the government recently extended the term of another RBI deputy governor, Rajeshwar Rao, for a second time. Rao’s initial term ended in October 2023. The RBI has four deputy governors, typically comprising two internal promotions and two external appointments, often including a commercial banker and an economist.
The RBI has not yet responded to a request for comment on the matter. This news follows a recent warning issued by the RBI to non-banking financial companies (NBFCs), highlighting the need for robust risk management practices.
