Economics
Central Banker Returns to NYU From India With Warnings Largely Unheeded
- Acharya said weak banks remain vulnerable to future shocks
- He goes back to academics after cutting short term by 6 months
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Viral Acharya will be ending his stint as deputy governor at the Reserve Bank of India with a sense of unfinished business, particularly involving the central bank’s autonomy and the health of lenders.
References to these are littered across half of Acharya’s at least 14 speeches as a central banker, where he uses the word “capital” more than 150 times to drive home his point: against the government’s attempts to dip into the RBI’s capital reserves, and to urge Prime Minister Narendra Modi to hasten recapitalization of India’s struggling state-run lenders.