January 2, 2015
Uber, already under fire for the alleged rape in Delhi, is now under fire from RBI’s chief Raghuram Rajan for using overseas payment system.
Raghuram Rajan in an interview with NDTV that Uber was using payment system to conduct transactions overseas which was in violation with Indian regulations. He gave a warning to the second largest valued start-up in the world that India will not tolerate such violations irrespective who the violators are.
Raghuram Rajan added India is seeking to establish a new financial framework to keep pace with the country’s burgeoning e-commerce sector, which features varying business models, so that it can flourish in the country.
“We want to encourage that kind of thing (e-commerce) – we certainly have to recognise new technologies as they come and make adjustments to the fact they operate in a different fashion,” said Rajan.
“We have some solutions coming that are without too much ‘jhanjhat’ (trouble) to solve them,” Rajan added.
Under the dynamic and visionary leadership of Raghuram Rajan, Indian Forex reserves now stand at $319.99 billion. The all-time high back in September of 2011 is $320.78 billion. This puts the country at a better footing than before in terms of external vulnerabilities.
Raghuram Rajan, has played an instrumental role in devising many policies that are key to strengthening the economy.