The RBI governor also said he is not 'overly' worried about any interest rate hike by the Federal Reserve, saying the country had enough foreign exchange reserves.
Indian economy has good fundamentals and sizeable foreign reserves, RBI Governor Raghuram rajan said.
The forex kitty swelled for the fifth week in a row during the week ended December 6 to $295.71 billion, adding $4.41 billion. Between August 30 and December 6, the reserves have increased by close to $17 billion.
Rajan has been facing continuous attacks by Bharatiya Janata Party MP Subramanian Swamy and some other sections, who have alleged that he has failed to lower interest rates and boost the economy
Rajan's exit will neither affect the RBI's de facto independence nor its working.
The Reserve Bank of India hiked key interest rates by 0.25 per cent each in the last two reviews to tame inflation.
The Congress on Friday claimed that that "vitriolic tirade" against RBI Governor Raghuram Rajan by Subramanian Swamy has the "full backing" of NDA government and Bharatiya Janata Party.
The aim of his visit was to explore how financial institutions can be co-opted in reviving the local economy.
The 42-year-old Acharya's appointment for a three-year tenure was cleared by the Appointments Committee of the Cabinet.
If companies get into trouble, the loan becomes a non-performing asset and "we very much want these assets to be back on track," Raghuram Rajan said.
he feels they are prone to misuse by borrowers, including farmers, and suggested a rate ceiling for loans by micro finance lenders.
Rajan said it is hard to offer an objective self-assessment but the RBI should probably have raised more flags about the quality of lending in the early days of banking exuberance.
After Raghuram Rajan leaves, the world for the succeeding RBI governors will be distinctly different.
Macroeconomic factors under control, says Rajan
Head of central banks from various countries get into a 'Basel huddle' every second month at Basel at the headquarters of the Bank for International Settlement.
Jaitley said manufacturing sector will continue to face challenges unless it transitions itself while keeping the quality and price in mind.
'I often see people try to put down China.'
Also says PSU banks divestment to be considered after improvement in governance
Giving details of Rajan's 'course schedule' for 2016-17, Chicago Booth School said this course will explore the challenges of corporate finance and investment in a more integrated global economy.
On the controversy surrounding the GDP numbers based on new calculations, he said statisticians have done as good a job as they can and economic growth is significantly high as costs have come down
He warned low interest rates globally could distort markets and would be difficult to abandon
Rajan, Swamy alleged, is a member of US dominated Group of 30.
Second authentication for small value payments through credit cards can be reduced subject to conditions.
The RBI guv said global economy is actually recovering, though slowly
The RBI on Tuesday announced start of year-long public awareness and consumer protection campaign.
India imposes restrictions on how much money its citizens and companies can invest abroad
Rajan said whatever answer he gives on Modi will be 'problematic'
On growth, the Governor said the prospects in the last few months have improved.
With the 'busy credit season' which witnesses a spurt in loan demand going up, it would be good to lower the rates ahead of it
The central bank gave 11 entities licences to start payments banks.
He added however that reasonable profit must be there at the bottom of the pyramid as the business has to be self-sustaining
Rajan Committee has evoked divergent reactions from the states.
Reserve Bank Governor Raghuram Rajan on Tuesday said the government's target of reducing the current account deficit (CAD) to $70 billion or 3.7 per cent of the GDP in 2013-14 is "imminently reachable".
Rajan said RBI should pay as much dividend as possible to the government, which over the past two years has run into billions of dollars
'My immediate objective is to start thinking about research once again. Start understanding the world we are in which has changed quite a bit.'
The S&P BSE Sensex was up 241 points at 26,867 and the Nifty50 gained 68 points at 8,239.
According to Subbarao, the pressure on the currency was inevitable.
Inflation has remained a major concern.
'We will supply dollars in case of extreme volatility.'
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