Former RBI chief Raghuram Rajan has yet again blamed the demonetisation and the Goods and Services Tax (GST) as the steps that led to holding back of the country’s economy.
Often seen as critic of the current government, the former RBI chief termed the two steps as major headwinds that held back India’s economic growth last year.
He also asserted that the current seven per cent growth rate is not enough to meet the country’s needs.
He was addressing an audience at the University of California in Berkley.
Observing that India is sensitive to global growth, he said India has become a much more open economy.
He added that while India’s growth is picking up again, there is the issue of oil prices.
The bankruptcy code, he asserted, cannot be the only way to clean up the banks.
India, he said, needs to create one million jobs a month for the people joining the labour force.>