Raghuram Rajan in race for Bank of England chief: Report

New Delhi: Britain is searching for the new governor of the Bank of England to replace Mark Carney and there are speculations that former RBI governor Raghuram Rajan is among the top contenders.

The appointment will be made by Chancellor Philip Hammond around October this year. After continuing for second term, Mark Carney will step down in January 2020. The chosen candidate will come into the most effective appointed position in British banking sector by February 2020.

According to the bookies, the chief executive of UK’s Financial Conduct Authority Andrew Bailey, is the favourite, however his chances are facing some challenge. According to the Financial Times, current University of Chicago economics professor and former governor of the Reserve Bank of India Raghuram Rajan, is second closest contender.

Raghuram Rajan was the Chief Economist of the International Monetary Fund (IMF) from 2003 to 2007, and also served as Reserve Bank of India (RBI) governor from 2013 to 2016. Earlier last year, he had refuted similar speculations of him taking the top job at the Bank of England. 

Outstandingly, Rajan isn't the only Indian within the race. Shristi Vadera, the chairperson of Santander UK, is additionally among the six seeming candidate for Carney in spite of no experience with central banks. She, however, is known for her work as a no-nonsense minister within the Gordon Brown government.

Chancellor Philip Hammond is hoping that concerns about Brexit will not deter potential applicants. No matter who is selected, the next Bank of England governor will have his work cut out for him with Brexit in the picture.

On the other hand, there's a chance that British PM Theresa May and Hammond could be out of government by the time choice on the following Bank of England representative is taken. The upcoming European elections following month might see the conclusion of May's rule, and even alter the list of contenders.