India’s central bank governor says he won’t seek second term

The governor of India’s central bank will not seek a second term when his term ends in September. Raghuram Rajan’s announcement ends speculation over whether Prime Minister Narendra Modi’s government will give him another three-year term with India’s economy growing at an impressive 7.5 per cent. That made India the world’s fastest-growing major economy, overtaking China’s growth in the January-March quarter.

India’s inflation rate averaged 7.7 per cent from 2012 through 2015, reaching an all-time high of 11.16 per cent in 2013 and a record-low 3.69 per cent in July last year.