Former RBI Governor Shaktikanta Das Takes on New Role as Second Principal Secretary to PM Modi

Mar, 1 2025

In a surprising development, Shaktikanta Das, the former Governor of the Reserve Bank of India, takes on a new responsibility as the second Principal Secretary to Prime Minister Narendra Modi. This role is unprecedented, as such a position has never before existed. His appointment begins immediately and will align either with the PM's current term or until further notice, reflecting the trust placed in his hands.

Seasoned Economic Strategist

Das's journey to this significant role is marked by numerous achievements, primarily during his tenure as RBI Governor from 2018 to 2024. A 1980-batch Indian Administrative Service officer from the Tamil Nadu cadre, Das faced myriad challenges that would test his mettle. Handling economic turbulence during the COVID-19 pandemic, he acted decisively to stabilize financial markets and protect India's financial ecosystem.

Well-known for being at the helm during India’s 2016 demonetization, Das also played a crucial role in the introduction of the Goods and Services Tax (GST), transforming India's tax landscape. His strategies focused on economic resilience, including tackling inflation, encouraging growth, and reinforcing regulatory protocols for banks and Non-Banking Financial Companies (NBFCs).

Enabling Crisis Management and Structural Growth

Beyond his RBI responsibilities, Das made significant contributions as India's G20 Sherpa and as a member of the 15th Finance Commission after his RBI tenure. His deep-rooted understanding of economic policy is further highlighted by his academic background, holding a Master's degree in History from St. Stephen's College and a further qualification in Public Administration from the University of Birmingham.

His appointment now as one of Modi's principal aides not only underscores his acumen in navigating crises but also signals a strategic move by the government to bolster economic leadership. Das, alongside PK Mishra, who has held the Principal Secretary position since 2019, forms a formidable team expected to guide the administration through economic challenges and potential reforms.

This newly forged role as the second Principal Secretary symbolizes both trust in Das’s wealth of experience and an acknowledgment of the need for robust economic stewardship during evolving times. As the nation watches closely, Das's insight and proficiency will be critical in steering the direction of India's economic policies alongside Modi's governance strategy.