RBI has come under a lot of flak after the govt decided to invalidate Rs500 and Rs1,000 bank notes, about 86% of the country’s currency in circulation. Photo: Aniruddha Chowdhury/MintMumbai: A Reserve Bank of India employees union has written to Governor Urjit Patel objecting to a finance ministry move to send a joint secretary to coordinate cash operations at the central bank. The letter also highlights that RBI Act 1934 empowers the central bank to regulate the issue of bank notes. Its role in the decision making process and its preparedness have come under question with the central bank putting out at least 60 notifications in the first 50 days, some often reversing earlier decisions. Reddy and Bimal Jalan also raised concerns about the eroding autonomy of the central bank.

Source: Mint January 14, 2017 04:00 UTC