From RBI to the PMO: Shaktikanta Das' journey in India's governance

Former RBI governor Shaktikanta Das takes on new role as Principal Secretary to PM Modi

Former Reserve Bank of India (RBI) Governor Shaktikanta Das has been appointed as the Principal Secretary to Prime Minister Narendra Modi, as announced in a government notification today. His tenure will be co-terminus with that of the Prime Minister or until further orders, whichever comes first.

Das served as the RBI Governor for six years, beginning in December 2018, after the unexpected resignation of Urjit Patel. During his time in office, he received global recognition, ranking among the top three central bankers for two years in a row by Global Finance magazine, which also awarded him an 'A+' rating in its 2024 Central Banker Report Cards.

Upon taking charge as RBI governor, Das quickly restored confidence in the market, which had been unsettled by Patel's abrupt resignation and the dispute between the RBI and the government over surplus transfer.

During his tenure, Das faced the unprecedented challenges of managing the economic disruptions caused by the COVID-19 pandemic. In response, he lowered the policy repo rate to a historic low of 4 percent and kept the low-interest rate regime for nearly two years, supporting an economy deeply impacted by the lockdowns. As the economy began to rebound, the Monetary Policy Committee (MPC), chaired by Das, swiftly raised interest rates in May 2022 to avoid overheating and manage inflation.

His effective management of challenging monetary conditions, controlling inflation, and fostering growth led to his reappointment. The government in 2021 extended his term for an additional three years.

Das played a key role in maintaining an economic growth rate of over 7 percent during the final four years of his six-year tenure.

Before his tenure at the RBI, Das played a pivotal role in leading Prime Minister Narendra Modi’s 2016 demonetisation initiative, with then RBI Governor Urjit Patel stepping back from the process.

Das, an IAS officer from the 1980 batch, served as the Secretary for both the Department of Revenue and the Department of Economic Affairs. After retiring, he was appointed as a Member of the 15th Finance Commission and took on the role of India's G20 Sherpa.

With four decades of experience in governance, he has held significant roles in both central and state governments, working in areas like finance, taxation, industries, and infrastructure.

Throughout his long tenure in the Ministry of Finance, he played a role in the preparation of eight Union Budgets.

Das has also represented India as its Alternate Governor at several prominent international financial institutions, including the World Bank, Asian Development Bank (ADB), New Development Bank (NDB), and the Asian Infrastructure Investment Bank (AIIB). He has also represented India in various global forums such as the IMF, G20, BRICS, and SAARC.

Das holds a postgraduate degree from St. Stephen's College, Delhi University.