List of Governors of Reserve Bank of India

Reserve Bank of India or RBI is the central bank that works directly under the finance ministry of the country. The Reserve Bank of India (RBI) is considered India's highest monetary authority. Since the establishment, which dates back to the British colonial government in 1935, 25 people have served as governors of the Reserve Bank of India.

It is responsible for the issuance and supply of the Indian rupee and for the supervision of the Indian banking system. It also manages the country's main payment system and is committed to promoting its economic development. Bharatiya Reserve Bank Note Mudran is one of RBI's professional departments, through which Indian banknotes and coins are minted.

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The Monetary Policy Committee was established in 2016 until then, it had complete control over India's monetary policy. It began operating under the Reserve Bank of India Act 1934 on April 1, 1935. The original share capital is divided into 100 shares and each share is paid in full. After the independence of India on August 15, 1947, the Reserve Bank of India was nationalized on January 1, 1949.

The general management of the Reserve Bank of India is divided between a 21-member central board of directors, which includes: the governor, four deputy governours, two representatives from the Ministry of Finance (usually the Minister of Economic Affairs and the Minister of Financial Services); and ten government-appointed directors, and four directors representing the local boards of Mumbai, Kolkata, Chennai and Delhi. Each of these local committees consists of five members who represent regional interests, as well as the interests of cooperative banks and indigenous banks.

It is a recognised affiliate bank of the Asian Clearing Union. The bank is also actively involved in promoting financial inclusion policies and is an important member of the Alliance for Financial Inclusion (AFI). This bank is often called "Mint Street".

The article focuses on the RBI governor list, it mentions the list of RBI governors till date that served the institution. The article also mentions the organisational structure of the Reserve Bank of India.

The Organisational Structure of the Reserve Bank of India

The organisational structure of the Reserve Bank of India refers to the structure of bureaucracy that is followed in the office. The article mentions important details like the first governor of RBI and the first governor of reserve bank of India, it is important to note here that the first governor of RBI was a British person named Sir Osborne Smith while the first governor of Reserve Bank of India with Indian origin was Sir C. D. Deshmukh. 

The Governor of the Reserve Bank of India is the Chief Executive Officer of the Central Bank of India and Chairman of the Central Board of Exofficio. The Indian banknotes issued by the Reserve Bank of India (RBI) bear the signature of the President of the Reserve Bank of India.

The Central Board of Directors serves as the main committee of the Reserve Bank of India. The Indian government appoints directors for a four-year term. The board of directors is composed of a governor and no more than four deputy governors; four directors represent the regional committees; two-person usually the director of the economic department and the director of the financial affairs department from the Ministry of Finance and ten others from different fields Director. 

Traditionally, two of the four deputy governours came from the Reserve Bank of India and were chosen from among the bank's executive directors. One was appointed by the president of the public sector bank and the other was an economist. An Indian administrative service officer can also be appointed as Vice President of RBI and later as President of RBI.

Mentioned below is the hierarchical order that is followed in the office of the Reserve Bank of India while the list of governors of Reserve Bank of India will be discussed later in the article.

• Central Board of Directors

• Governors

• Deputy Governors

• Executive Directors

• Principal Chief General Managers

• Chief General Managers

• General Managers

• Deputy General Managers

• Assistant General Managers

• Managers

• Assistant Managers

• Support Staff

RBI Governor List

It mentions the list of all RBI governors, the list is important to study as it provides factual information like the name of the first governor of RBI after independence, the list also mentions the present RBI governor’s name. Mentioned below is the list of RBI governors till date along with their duration of service.

Functions of Reserve Bank of India

The central bank of any country performs many functions, such as overseeing monetary policy, issuing foreign exchange, managing foreign exchange, and acting as a banker for government banks and regular commercial banks. It also applies to the overall economic growth of the country. The Preface of the Reserve Bank of India describes its main functions as regulation of the issuance of bank bills and the preservation of reserves to ensure the stability of the Indian currency and its advantages in the functioning of the monetary system and credit of the country as a whole.

The primary functions of the Reserve Bank of India can be summarized into the following points.

1. Financial supervision

2. Regulation and supervision of the financial system

3. Regulation and supervision of the payment and settlement systems

4. Debt management  to the government

5. Management foreign exchange

6. Issuance of  the national currency

7. Regulation of Banking System 

8. Developmental roles in support of national objectives and industries.

9. Acts as Central Securities Depository for Government Securities (G-Sec)

10. Acts as a banker to the government and regulates the merchant banking function for the central and the state government.

The main goal of RBI is to conduct unified supervision of the financial sector including commercial banks, financial institutions and non-bank financial companies. It considers inspection reports submitted by the supervisory authority and other supervisory issues.

The institution is also the regulator of the financial system and sets a wide range of parameters for the banking operations of the country’s banks and financial system. Its goal is to maintain the public’s trust in the system, protect the interests of depositors, and provide the public with profitable banking services. The Reserve Bank of India (RBI) has established a Banking Ombudsman Program to effectively resolve complaints from bank customers. The Reserve Bank of India controls the money supply, monitors economic indicators such as GDP, and determines the design of rupee notes and coins.

The 2007 Payment and Settlement System Law (PSS Law) granted the Reserve Bank the power to supervise the country's payment and settlement system. In this role, RBI focuses on the development and operation of secure, reliable and efficient payment and settlement mechanisms.

Reserve Bank of India acts as a banker of the Indian government, RBI maintains its accounts, receives payments and makes payments from these accounts. The Reserve Bank of India also helps the Indian government raise funds from the public by issuing government-approved bonds and securities.

In conclusion of the article, the Reserve Bank of India serves as a Central bank of the country, which is governed by a Committee of directors and governor, this institution works directly under the Ministry of finance of the Indian government.