With country’s different regulators investigating companies over a variety of alleged mis-demeanours, Reserve Bank of India (RBI)’s Governor Raghuram Rajan urged for the need of country to find balance between giving government and regulators unchecked power and creating complete paralysis. He suggested that though the country should strengthen its government and regulatory capabilities but it must also resist bringing in 'layers and layers of checks and balances' since this could hinder the state's normal functions. He emphasized that the country should not escape from “License Permit Raj” only to end up in the “Appellate Raj.”
These comments came after some investors raised concerns over government’s excessive zeal. Citing Hitler’s example, Reserve Bank of India (RBI) Governor Raghuram Rajan cautioned that a strong government may not always move in the right direction. He further underscored that Hitler’s so called strong government only took Germany efficiently and determinedly on a path to ruin, overriding the rule of law and dispensing with elections.
He called for economic inclusion and added this should mean easy access to quality education, nutrition, healthcare, finance and markets to all citizens for ensuring sustainable growth. He also suggested that there was greater need of specialist with domain knowledge and experience in many areas of government and regulation.
The Central Bureau of Investigation (CBI) sparked indignation after publicly announcing a probe into industrialist Kumar Mangalam Birla in December 2013 in relation to a coal block allocated to a firm belonging to his Aditya Birla Group and later dropping the case in August citing a lack of evidence.