Vepa Kamesam, managing director of State Bank of India, who will take up his new assignment as a deputy governor of the Reserve Bank of India (RBI) next month, is likely to step into Jagdish Capoor's shoes. And G P Muniappan, former executive director of the RBI, is expected to replace S P Talwar.
This is a deviation from the norm, as Capoor is an insider in the RBI, while Talwar had got his appointment as a commercial banker.
Following the established practice, Kamesam, who is a practising commercial banker, should have replaced Talwar. And Muniappan, being an insider, should have replaced Capoor.
Talwar has been handling the crucial departments such as department of banking operations and development, department of banking supervision and department of non-banking supervision.
While Capoor's portfolio includes industrial and export credit department; exchange control, rural planning and credit department; urban banks department, currency management, HRD and internal administration.
According to sources, Muniappan is likely to succeed Talwar, as he has the requisite expertise in banking supervision. He had taken voluntary retirement in January, a few months before his term as an executive director expired. Immediately after taking retirement, he was posted as ombudsman at Thiruvananthapuram.
Kamesam is stepping in Capoor's shoes as his expertise lies in exchange control, industrial credit and administration. He was earlier the managing director of State Bank of Travancore and also had a stint as the CEO of State Bank of India's London operations before becoming its managing director. He also handled the bank's foreign exchange wing in Kolkatta.
The third deputy governor, Y V Reddy, who has been granted an extension, heads department of monetary policy, internal debt management, exchange rate management and economic research. Reddy plays a two-in-one role of a bureaucrat and an economist.
