IAS Officer TV Somanathan to Become Dy. Governor of RBI

For the first time, the Government is likely to appoint a senior bureaucrat soon for the Reserve Bank of India (RBI) Deputy Governor as two shortlisted candidates senior IAS officer TV Somanathan and IDBI Bank Chief MK Jain are learnt to be frontrunners for the prestigious post. Cabinet Secretary-headed panel has already shortlisted them for the coveted post out of 9 candidates interviewed on Thursday, sources privy to the development told media.

“Somanathan who is Principal Secretary in Tamil Nadu Government is leant to have not applied for the post but on the search panel's invitation he appeared for the interview on May 10. However, the search committee claimed that any eligible candidate can be invited for the interview at the panel's discretion if it finds him/her worthy for the post,” sources added.

Besides Somanathan, there is a widespread speculation that IDBI Bank Chief MK Jain may also get the Deputy Governor chair as per RBI rules. As per the RBI Act, the central bank should have four Deputy Governors two from within the ranks, a commercial banker and an economist to head the monetary policy department.

“As Deputy Governor SS Mundra's retired in July last year, creating the vacancy for the commercial banker's slot, Jain is fit for the position. But it is, however, learnt that Prime Minister Narendra Modi is very keen to offer opportunity to senior bureaucrats for some key positions in the financial regulatory institutions like Sebi, RBI, IRDAI and others,” sources said.