Tue Dec 10 08:37:23 UTC 2024: ## Government Appoints Sanjay Malhotra as New RBI Governor

**New Delhi, December 9, 2024** – The Indian government announced the appointment of Sanjay Malhotra as the new Governor of the Reserve Bank of India (RBI) today. Malhotra, currently serving as Revenue Secretary, will succeed Shaktikanta Das, who has held the position for the past six years. Malhotra’s term will be three years.

The announcement ends speculation surrounding the leadership of India’s central bank, particularly given the current economic climate. India’s economic growth rate slowed to 5.4 percent in the July-September quarter, the lowest in seven quarters, putting pressure on interest rate decisions. Under Das’s leadership, the RBI maintained interest rates for nearly two years, citing inflation concerns.

Malhotra, a 1990-batch IAS officer from the Rajasthan cadre, brings extensive experience in various sectors, including power, finance, taxation, information technology, and mining. He holds a degree in Computer Science Engineering from IIT Kanpur and a master’s in Public Policy from Princeton University. Prior to his current role, he served as Chairman and Managing Director of Rural Electrification Corporation Limited and Secretary in the Department of Financial Services, Ministry of Finance. His experience includes playing a key role in banking sector reforms and serving as ex-officio secretary of the Goods and Services Tax (GST) Council. His expertise in direct and indirect taxation, both at the state and central levels, is widely recognized.

The appointment is made under the provisions of the Reserve Bank of India Act, 1934, by the Appointments Committee of the Cabinet (ACC), chaired by the Prime Minister. The Department of Financial Services (DFS) in the Ministry of Finance shortlists potential candidates based on merit, experience, and suitability. The selection process includes seeking recommendations from various experts, bureaucrats, and economists. While the RBI Act doesn’t specify detailed eligibility criteria, the government typically seeks individuals with expertise in economics, banking, finance, or public administration. Malhotra’s appointment is expected to bring a fresh perspective to navigating the challenges facing the Indian economy.

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