Monday evening has stirred a fire at India's apex bank RBI, where Governor Urjit Patel has quit his post. Urjit Patel has decided to end his tenure as RBI governor in a little over two years' time - he has not even completed his tenure. Patel says his reason for quitting are personal, however, with the way the relationship with the NDA government had frayed over the recent weeks, it was only a matter of time for the shock wave to hit India. Interestingly, Prime Minister Narendra Modi has took to his Twitter account, and did not shy away in talking about Urjit Patel. Modi tweeted with high praise for Patel. Modi called Dr Urjit Patel as a thorough professional with impeccable integrity.
Notably, today was a double whammy day for India. The first blow was when the Sensex crashed and closed 714 points down. Within a few hours, this was followed by the second shock in the form of Urjit Patel resignation. STock markets were reacting to exit polls, which have thrown up uncertain results in the states that just went to election including Rajasthan and Madhya Pradesh.
Interestingly, Patel was one of the key candidates in line to become RBI governor after Raghuram Rajan decided to exit from his post once his tenure ended in September 2016. Unlike Rajan who was known for his outspokenness and virtually walked the talk, Patel was a silent governor whose actions spoke for him. Patel was officially announced as RBI governor on August 20, 2016 and took his charge on September 04, 2016.