Raghuram Rajan to quit after tenure ends, return to teaching

The Reserve Bank of India Governor Raghuram Rajan has put to rest rumours surrounding his continuation in the job. Rajan will return to academia when his current term ends on September 4, he said in a message to central bank staff on Saturday.

The RBI posted Rajan's message on its website.In his message, he said: I am an academic and I have always made it clear that my ultimate home is in the realm of ideas. The approaching end of my three-year term, and of my leave at the University of Chicago, was therefore a good time to reflect on how much we had accomplished. Rajan also added that he will be available to serve the country when needed.Rajan had been instrumental in ushering in reforms in banking and taming inflation during his tenure. Both corporates and markets backed him after BJP MLA Subramanian Swamy had recently dashed off letters to the Prime Minister seeking his ouster.