India New Head of Central Bank Former IMF Economist

India has picked a former International Monetary Fund chief economist as the head of its central bank, as it works to revive its slowing economy.

Raghuram Rajan, 50, takes up the top job at the Reserve Bank of India on 4 September.

The announcement came as the rupee hit a new record low against the US dollar on Tuesday.

Mr Rajan, who is known for having predicted the 2008 global financial crisis, will replace D Subbarao.

His appointment comes with the rupee in free-fall because of India’s current account deficit, a broad measure of trade, and the economy growing at its slowest pace in 10 years.

Investors have been taking money out of the country because of slowing growth, and a slew of corruption scandals have left the political process paralysed.

Mr Rajan, who served as chief economic advisor to the government working closely with Finance Minister P Chidambaram, has said that “all options were on the table” to stabilise the currency.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza