A recent press report said that the Government has appointed Mr. Harun Rashid Khan as Deputy Governor of Reserve Bank of India.
Mr. Harun Rashid Khan fills the vacancy of superannuation of Ms. Shyamala Gopinath. The central bank traditionally has four Deputy Governors, with two of them being from the RBI and the other two being external candidates — a senior commercial banker and an eminent economist.
Reports said that Mr. Khan will be in charge of Central Security Cell, Department of External Investments and Operations, Department of Government and Bank Accounts, Department of Payment and Settlement Systems, Foreign Exchange Department, Internal Debt Management Department and Inspection Department.
Mr. Khan was Executive Director of RBI since October 2007; he was looking after the Department of External Investments and Operations, Foreign Exchange Department, Internal Debt Management Department and Department of Government and Bank Accounts.
Reports also said that Mr. G. Padmanabhan has assumed charge as Executive Director of RBI and he will look after Department of Information and Technology, Department of Payment and Settlement Systems and Foreign Exchange Department.
The banks are expecting the RBI to hike base rates in future and it might lead banks to increase their loan rates (home loan, personal loan, business loans, vehicle loan etc.)