raghuram rajan : bold face of india ’ s economy speaks out interview with dr raghuram rajan, governor of the reserve bank of india, in the australian financial review published on 24 february 2014. * * * emerging markets jacob greber and greg earl report on governor with an impeccable pedigree. raghuram rajan represents the bold face of india ’ s potential new economy – impeccably credentialed, upbeat and ready to force himself onto centre stage in the global debate about the reshaping of the world economy. appointed as governor of the reserve bank of india in september, rajan has taken no time to make himself heard in international financial markets. last month he took the united states federal reserve to task for failing to recognise the negative consequences to emerging markets from its tapering program, saying international monetary co - operation was breaking down. on saturday, in an interview with the australian financial review, he warned against allowing a world order to emerge in which “ everybody is in their own boat and they sink or swim. we ’ re in it together. ” the former international monetary fund chief economist and harvard economist is also leading the charge against the us congress for stalling reforms to the fund that would increase the say of emerging economies. “ there is only so long the world can wait for the us to get its act together [ on imf reform ] ”, he said, alluding to the fact that countries such as brazil, india, indonesia and china are more likely to consider building alternative bodies to act as emergency lenders to troubled nations and as a global “ truth teller ” of economic realities. above all, rajan – a long - standing member of the global policymaking elite – wants to push emerging markets to the centre of agenda setting. long dominated by the major post - war economies of the north atlantic, india, alongside china, is part of a vanguard determined to be recognised for its ever - rising role in the global economy. “ we emerging markets have to step up to be part of the agenda setting, rather than [ remain ] passive when the agenda is set and then reacting to the agenda ”, he said in a hotel conference room overlooking sydney harbour. “ but i do think if the international fora are not responsive, both in terms of quotas but also in terms of hearing and allowing to the agenda to be set by more emerging markets, you will see a drift away towards more regional groupings, which would

conclusions it follows, then, that the chilean economy has resumed a strong growth after the unexpected slowdown in the third quarter of last year. in parallel, due mainly to a different supply - side shocks, inflation has risen considerably. in this setting, monetary policy must, aside from anticipating the inflationary consequences of the business cycle, prevent second - round effects related to these shocks. adjustments and increased volatility recently observed in international financial markets are other factors to consider in this conjuncture, and their implications will depend critically on how they will ultimately affect the future inflation trajectory. we have the luxury of having a well - established macro / financial framework that permits us to be well prepared to face turbulences as they occur.