Finance Minister Nirmala Sitharaman said during a lecture at Columbia University on Wednesday that the tenure of former Prime Minister Manmohan Singh and former RBI Governor Raghuram Rajan was the worst period for public sector banks. During his time loans were given on the phone of close leaders. PSU banks are still dependent on capital from the government to get out of that morass. Sitharaman said that now it is his priority to help all public sector banks.
Rajan called Modi government A One Man Show
Raghuram Rajan had said in a lecture recently that the Narendra Modi government did not work well for the economy in the first term, because the government was completely centralized. It does not appear that the government’s approach to achieving economic growth is the same and clearly expressed. Commenting on this, Sitharaman said- I am sure Dr. Rajan would agree that Manmohan Singh must have had a ‘uniform and clearly expressed’ attitude towards India.
Sitharaman said- I am thankful that Rajan did an asset quality review, but people want to know who is responsible for the condition of banks today. Sitharaman said tauntingly, respecting Rajan as a good scholar, he had decided to become the Governor of RBI when the Indian economy was better.
Sitharaman said that if there is such a thinking that the leadership of India has been centralized, then I would like to say that corruption is encouraged by the leadership being very democratic. It is necessary to have effective leadership rather than democratic. There should be a country with diverse and effective leadership like India. We are still cleaning the mess created by the earlier corruption.