Poonam Gupta Appointed RBI Deputy Governor, Oversees Monetary Policy Portfolio

Poonam Gupta has assumed her role as the Reserve Bank of India's new deputy governor, joining the Monetary Policy Committee during a period of ongoing interest rate cuts. Gupta, a former World Bank and IMF economist, brings expertise in inflation targeting and macroeconomic policy, advocating for an updated consumer price index (CPI) food weight to better reflect India's evolving economy. She will oversee crucial departments including monetary policy, economic research, financial stability, and international affairs. The RBI has also reassigned portfolios among its other deputy governors to streamline responsibilities across regulation, fintech, supervision, and consumer protection. Gupta’s prior research stresses the importance of not disregarding food inflation and recommends more flexibility in managing the rupee’s exchange rate. Her appointment is expected to further strengthen the RBI’s policy formulation and communication amid changing economic conditions.