Poonam Gupta Assumes Charge as RBI Deputy Governor, Becomes Member of MPC

Poonam Gupta officially took charge on Friday as the new Deputy Governor of the Reserve Bank of India (RBI). Alongside her new role, she has also become a member of the Monetary Policy Committee (MPC), which is responsible for setting the repo rate to balance inflation and economic growth in the country.

Significance of Her Role

As a member of the MPC, Poonam Gupta will play a crucial role in decisions that directly influence interest rates on loans, inflation, and public spending. The committee’s decisions impact the broader economy and everyday lives of citizens.

Term and Background

• Appointment Date: April 2, 2025

• Tenure: Three years from May 2, 2025, or until further notice

Poonam Gupta brings extensive experience from working with global financial institutions like the World Bank and the International Monetary Fund (IMF). Her focus has primarily been on emerging markets and international economic policy, including research and advisory roles across various developing countries.

Her Responsibilities at RBI

Along with her role in the MPC, she has been entrusted with multiple key departments at RBI, including:

• Corporate Strategy and Budget

• Communication

• Financial Stability

• And seven other departments

Other Deputy Governors and Their Roles

• M. Rajeshwar Rao: Given charge of six departments including Coordination, Regulation, Enforcement, and Risk Monitoring

• T. Rabi Sankar: Assigned the most responsibilities, overseeing 12 departments, including:

  • Central Security Cell

  • Information Technology

  • Payment and Settlement Systems

  • Forex Department

  • Financial Technology

• Swaminathan Janakiraman: Tasked with departments related to Consumer Education, Supervision, Inspection, and four others

All four Deputy Governors officially assumed their departmental responsibilities on Friday, May 2, 2025.