S. Venkitaramanan, Former RBI Governor Passes Away

Former RBI Governor S Venkitaramanan died this morning after succumbing to a short illness. One of India's most talented public workers, notably in the subject of finance, has died at the age of 92 in Chennai. S Venkitaramanan served as RBI Governor during a critical period in our country's history, from 1990 to 1992. Venkitaramanan, who was born in Travancore on January 28, 1931, held a number of influential roles before becoming RBI Governor, including Finance Secretary of India and consultant to the Government of Karnataka. 

About S. Venkitaramanan

• S. Venkitaramanan died at the age of 92, leaving behind two daughters, Girija and Sudha, and their families. 
• He was the 18th Governor of the Reserve Bank of India, serving for two years from 1990 to 1992. 
• Prior to this, he was Finance Secretary in the Ministry of Finance from 1985 until 1989. 
• During Venkitaramanan's tenure, India also adopted the International Monetary Fund's (IMF) stability policy, which included a depreciation of the currency and the commencement of an economic reform project.
• He was a vital assistant to C Subramaniam, who was instrumental in bringing in the Green Revolution in the mid-1960s. 
• S Venkitaramanan, the former Governor of the Reserve Bank of India (RBI), died this morning after succumbing to a short illness.  
• Former RBI Governor S. Venkitaramanan's term from 1990 to 1992 occurred amid a difficult moment for India's external sector, but his astute management guided the country through it. 

Reserve Bank of India

• The Reserve Bank of India is a national institution and a foundation of India's thriving economy. It is a member of the International Monetary Fund (IMF). 
• The Reserve Bank of India Act of 1934 established the Reserve Bank of India on April 1, 1935.
• The Reserve Bank's Central Office was originally located in Calcutta (now Kolkata) until being permanently shifted to Mumbai in 1937. 
• The Governor works at the Central Office where policies are created.
• Though originally privately held, the Reserve Bank has been wholly owned by the Government of India since its nationalisation in 1949.
• The central board of directors oversees the operations of the Reserve Bank. 
• The RBI, also known as the Monetary Authority of India, was established in response to the Hilton Young Commission's suggestion.
• The Reserve Bank of India Act of 1934 established the RBI's legislative standing, and it began operations on April 1, 1935.

Monetary Policy Committee

• The Monetary Policy Committee was established in 2016.
• It strives to increase openness and accountability in monetary policy decisions.
• The MPC decides on the policy interest rate needed to attain the inflation objective.
• The committee has six members, with the Governor of the RBI serving as an ex-officio chairman. 
• Three members are appointed by the RBI, while three are appointed by the government.
• The inflation goal will be established every five years. The Government of India determines it in cooperation with the Reserve Bank.