to us. last year ( 2008 - 09 ) the growth rate was 6. 7 %. this was certainly better than most people had expected, but evidently lower than trend growth. for me, the single most important objective is returning the economy to a high growth path. cb : so that would imply that you believe growth of 9 % to be achievable in the medium term? ds : yes, of course. the challenge for the reserve bank will be to create the stage for a 9 % growth in an environment of price and financial stability. cb : do you think that concentrated wealth could hinder medium term growth as a recent adb - sponsored report has found? ds : i have not seen the adb report but i do know that reducing disparity across regions has been one of the key objectives of the government. at the heart of the 11th five - year plan is inclusive growth, and that aims to address precisely the issue of narrowing disparities. cb : so you'd broadly concur with the finding that concentrated wealth could hinder the achievement of trend growth of 9 %? ds : i know that higher growth in india cannot be meaningful unless the gains of growth are distributed more widely. cb : if there were three things that you could achieve in your first three years, what would those three be? ds : first, i would like the rbi to acquire greater proficiency in managing monetary policy in a globalised context. india is going to become more and more integrated. and we are going to be impacted by what's happening around the world. second, we have to make the rbi more transparent. we need to improve communication at both technical and non technical levels. third, at a very personal level, i would like to de - mystify the office of the governor. what i mean by this is that i want our staff to understand that even governors do not know everything, that they have to make judgement calls in a context of uncertainty when the pros and cons of their actions are not completely clear. i want them to understand that they will serve me better by disagreeing with me and telling me what to do rather than trying to outguess me. i want them to understand that the governors do not know everything and that they should feel free and comfortable about speaking up. cb : the reserve bank of india is now in its 75th year. how does the reserve bank plan to mark this anniversary? ds : our plans are still somewhat

fluid and i expect that we will look ahead as we look back. it's my privilege to be heading the rbi at such an historic moment. first of all, i want to say that the rbi has earned an enviable reputation for competence, for its professionalism and its integrity. we will of course be having events to commemorate the anniversary. but what i do want to do is to use the jubilee as an occasion to have rbi understand that they must make a difference and i want the people of india to understand that the rbi does something that's important in their daily lives. i want our staff to understand that they can make a difference. cb : looking back on the reserve bank's first 75 years, are there any lessons from history that the institution could usefully apply in the current circumstances? ds : i'm afraid i'm not a student of history but 75 years is a long time and there are certainly lessons from our experience. the central bank has performed the role of being an effective counterpoint to government which often has to concentrate on short - term objectives. on its part, the reserve bank has been able to take a medium - term view and what is prudent and optimal comes out of this synthesis. we should continue to do that. rbi has had a culture of gradualism, moving forward decisively but only after weighing carefully the pros and cons. it's like the crossing a river by feeling the stones metaphor. moving forward we need to understand that monetary policy is going to be more difficult because of the increasing forces of globalisation. as i mentioned earlier, we need to acquire greater proficiency in that. cb : where do you believe your views differ from those of your predecessor, y. v. reddy? where are there similarities? ds : dr reddy is an eminent economist who has served the rbi with dignity and distinction. he's a difficult act to follow. we are similar in that our aims are to keep the economy on a high - growth path with price stability and increasingly, financial stability. however, the difference between him and me will be the specific circumstances that we encounter when we try to deal with that mandate. dr. reddy has had to deal with two episodes of inflation, one demand driven and the other supply driven. he has also had to deal with a flood of capital flows. i have had a baptism by fire, taking over at a time of crisis, where i've had to act quickly.