NEW DELHI, June 18 (Xinhua) -- The head of India's central banking institution -- Reserve Bank of India (RBI) Raghuram Rajan Saturday said he will leave the central bank when his term ends on Sept. 4.
"I want to share with you that I will be returning to academia when my term as governor ends on September 4, 2016," Rajan in his message to central bank staff, which RBI posted on its website reads.
Rajan plans to return to academia.
"I am an academic and I have always made it clear that my ultimate home is in the realm of ideas," he said.
Rajan, a noted economist is currently on leave from the University of Chicago. He was chief economist at the International Monetary Fund (IMF).
In the recent past Rajan has faced opposition from some Indian politicians for not lowering interest rates and boosting the Indian economy.
"While all of what we laid out on that first day is done, two subsequent developments are yet to be completed. Inflation is in the target zone, but the monetary policy committee that will set policy has yet to be formed," Rajan's message reads.
A leader of ruling Bhartiya Janta Party (BJP) Subramanian Swamy in a two-page letter to Indian Prime Minister Narendra Modi has sought removal of Rajan with immediate effect and calling him "mentally not fully Indian" and accusing him of wrecking the Indian economy.
Swamy also asked Modi to order a probe into the RBI's alleged flouting of its rules while granting 10 small finance bank licences.
Earlier, Rajan's remarks about Indian economy being "the one-eyed man being king in the land of the blind," evoked him a sharp criticism.
