epub ´ Who Moved My Interest Rate î Duvvuri Subbarao
Omy and accountability While much of the existing debate is set in the advanced economy context Who Moved My Interest Rate places these issues suarely in an Indian and emerging market perspectiveThis is also a compelling chronicle of Subbarao’s attempts to demystify the Reserve Bank and explain to the public its impact on their everyday lives Honest authoritative and deeply insightful this book enhances our understanding of what is arguably one of India’s most trusted institutions Page 221 finished He just touched on demonization He wrote this before DeMo thoughsome words are prophetic
Duvvuri Subbarao î Who Moved My Interest Rate book
Who Moved My Interest RateSt Rate is an insider’s account of the dilemmas and uandaries Subbarao confronted while leading the Reserve Bank through these extraordinary economic and political challengesSubbarao’s five years at the Reserve Bank also marked an intellectually vigorous period for central banking around the world Not only did the global financial crisis test the policy force of central banks but it also raised several uestions about the breadth of their mandates and the limitations of their auton There's a peculiar way in which civil servants express themselves be it Mr Vinod Rai or Mr Subbarao This is the second book that I'm reading of a civil service luminary and I guess the word luminary cannot contain the magnitude of contributions our protagonist here has made towards national causeHe's the 11th IAS officer who has been the Governor of RBI Even YV Reddy from whom he got the office was also an IAS officer Before Mr Subbarao there have been IAS officer who have handled the governorship but he is the only person amongst those who has directly been promoted from Finance Secretary to RBI Governor Once an IAS officer accepts the post of RBI governor he's deemed to be retired from the Civil ServicesI used to think that being Governor of RBI from Finance Secretary is a sure shot promotion and that too a privileged one But my father was of the contrary opinion He said that RBI's jurisdiction is severely limited as compared to that of the finance secretary from whose office every single file related to fiscal money passes I'm sure that the ambit of secretarial powers are wide but I would like to clear it out that RBI doesn't only do the job of regulating the banking sector which is the most popular image of the institution Let me tell you the sectors which RBI regulates1 Financial institutions Banks NBFCs RNBCsRBI is popularly known as the central bank or the bank of government or the last resort for the commercial and scheduled banks What is the meaning of all these monikers? It means that RBI is not only responsible for maintaining the government money but also framing rules and regulations for the above mentioned institutions2 Forex ManagementThis includes the maintaining of Forex reserves of the country and monitoring the Current Account Deficit of the country Why is this important? Since Indian Rupees is not a universally accepted currency in today's globalized world it is necessary to maintain a sustainable level of foreign exchange with the country to meet the essential reuirements for which our country is totally dependent upon the outside world like oil3 Exchange Rate ManagementThere are two types of exchange rates which are followed one is Nominal Exchange Rate and other one is Real Effective Exchange RateREER In the second one the effects of inflation of the countries is also taken into account RBI's job is to maintain these exchange rates within a reasonable band so as to prevent a lopsided activity either in the importer side or the exporter side4 InflationIn easier and popular language it is referred as Mehengai One of the toughest jobs of RBI because gone are the days when the inflation of domestic economy was only influenced by the domestic circumstances Today a policy shift in the exports of Brazil can fluctuate the prices of sugar and Rice in India I've barely scratched the surface of the duties of RBI and how does it go about performing them but i guess that will go a long way in demystifying the job of RBI I don't know how many of you have noticed but I hardly mentioned anything that was specific to this book After all there couldn't have been interesting times for RBI and its officials than the period of 2008 2013 Surprisingly this period also marks the tenure of our author who has had his share of interesting times be that due to the financial crisisthe Rupee tantrumsinitiated by Taper Tantrums NBFC regulationIt's very tempting to write a prose on each of the above mentioned topics but I know the temptation it'll create if I don't and I don't want to rob you off the 'interesting times' that one may have reading the sameWhen the facts change I change my mind What do you do sir? John Maynard Keynes