Arundhati Bhattacharya may get an extension at SBI, out of RBI governor’s race

The government is thinking of extending SBI Chairman Arundhati Bhattacharya's term by at least a year, which would rule her out of the race of RBI’s next governor after Raghuram Rajan completes his term in September. Additionally, the government might up the tenure of SBI chairman to five years, from the present three.

The proposal is being considered since the finance ministry wants continuity in leadership when state-run SBI absorbs five associate units and Bhartiya Mahila Bank as it cleans up its bad loans.

It was earlier this month that the cabinet had cleared a plan to see SBI increase its size and become one of world’s top 50 banks, a process that one can expect to be completed by March 2017.

If Bhattacharya's term is not extended, MDs B Sriram, PK Gupta and Rajnish Kumar will be considered for the top post.

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