Reserve Bank of India governor Urjit Patel announced his resignation from his post effective immediately.
This move comes after a month-long battle between the Central bank and the Modi-led government over various issues including Patel's stand on bank reserves and rumours that the government would invoke Section 7 of the RBI Act which allows complete authority over the bank.
However, in his statement, Patel said that he has stepped down due to personal reasons.
"On account of personal reasons, I have decided to step down from my current position (RBI Governor) effective immediately. It has been my privilege and honour to serve in the Reserve Bank of India in various capacities over the years," Patel was quoted as saying by ANI.
"Support & hard work of RBI staff, officers & management has been proximate driver of Bank's considerable accomplishments in recent years. I take this opportunity to express gratitude to my colleagues & Directors of RBI Central Board & wish them all the best for future," he added.