India's ruling party leader Subramaniam Swamy yet again lashes out at RBI chief

Swamy has been accusing Rajan over financial policy attracting widespread media attention. Photograph:( AFP )

Agencies New Delhi, India Aug 07, 2016, 02.25 PM (IST)
Senior leader of India's ruling national party, Subramanian Swamy, once again attacked Raghuram Rajan today on the monetary policy, over a month after Prime Minister Narendra Modi had disapproved of his criticism of the Reserve Bank of India (RBI) chief.

The Bharatiya Janata Party (BJP) leader also criticised the media of painting Rajan as "some angel" and him as a "devil".

"In the Raghuram Rajan case, the whole media was motivated by forces outside this country to support him. They said the stock markets will collapse if he goes. The stock markets are not collapsing, it's gone up in fact. 

"He was harming the India economy by raising interest rates and making it impossible for small and medium industries to take loans from the banks," Swamy alleged.

"...So, it was as if I was some devil, and this man was some angel, who has come from abroad to save us," he said.

PM had disapproved of Swamy's attacks

The member of parliament in the upper house (Rajya Sabha) was speaking at a function organised here by Virat Hindustan Sangam, to recall his political life during the 'Emergency era' imposed during the tenure of former Indian prime minister Indira Gandhi.

Prime Minister Modi on June 27 had disapproved of Swamy's attacks on the RBI governor and some top finance ministry officials, saying they were "inappropriate".

Swamy has been accusing Rajan over financial policy attracting widespread media attention.

Meanwhile, Rajan has already said that he will not seek a second term as the RBI Governor.

Modi-government, however, recently announced its decision to stick to 4 per cent inflation target that sent across a message that government agrees with RBI's way of dealing with inflation, according to media reports. 

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