I Do What I Do by Raghuram Rajan Discloses His Aversion to PM Modi’s Demonetization
I Do What I Do: An enlightening book by the former RBI Governor, Raghuram Rajan
Often when a celebrated personality breaks his silence on a grave issue, it becomes the talk of the town. Raghuram Rajan whose new book ‘I Do What I Do’, released on 5th of September 2017, does the same trick. The book audibly discloses the RBI Governor’s reservations against demonetization from earlier this year.
I Do What I Do is essentially a tell-all book giving its readers a front row view of the thinking of the major economists in India. The book is compiles in an interesting way many essays and speeches of Raghuram Rajan, from his days in the Central Bank. It features his anecdotes on various issues as the RBI Governor.
Raghuram Rajan chaperoned Reserve Bank of India since he took charge as it Governor in September 2013. The time was when the rupee was at a constant free fall, the inflation rate was soaring high, the country had a huge current account deficit and India’s exchange reserves were also fast depleting. In such dangerous times, Rajan managed to boldly not only steer India out of the crisis but also made reforms that stretched way beyond the current issue at hand and aimed at long term growth and stability of India’s economy.
Displaying his perspicaciousness, Rajan rightly predicted the global financial crisis of 2008 and repeated his feat when in February 2017, he warned PM Narendra Modi against his disruptive decision of cash ban. As Raghuram Rajan reveals in his book, the latter was unfavoured by the rest of the RBI under him as well. I Do What I Do covers these and many of such
“I was asked by the government in February 2016 for my view on demonetisation, which I gave orally. Although there might be long-term benefits, I felt the likely short-term economic costs would outweigh them,” Rajan wrote.
“I made these views known in no uncertain terms.”
Raghuram Rajan also states in his book, “Although there may be long-term benefits, I felt the likely short-term economic costs would outweigh them, and felt there were potentially better alternatives to achieve the main goals,” he wrote in the book. “I made these views known in no uncertain terms.”