Rakesh Mohan, the Deputy Governor of Reserve Bank of India, has decided to leave the apex bank to join Stanford University in US as Distinguished Consulting Professor for international trade and development.

Mr. Mohan,who was also in the race of  RBI Governor’s job last year,  was to complete his term after six months in January 2010. However, he would leave the central bank on June 10 to take up his new role as professor at the prestigious university on June 15.

The economist served RBI for two terms as deputy governor from September 9, 2002 to October 31, 2004 and efficiently handled the Department of Economic Affairs. He received his bachelor degree in economics from Yale University and Master and a doctorate degree from Princeton University. He also worked as advisor to the Finance Minister and Chief Economic Advisor besides heading the expert groups on Railways and on commercialization of infrastructure.

The government has to find new candidate for the post after his departure. It is believed to have short listed Punjab National Bank Chairman and Managing Director, K C Chakrabarty and Bank of India Chairman and Managing Director, T S Narayanasami to fill the post vacated by V Leeladhar whose term expired in March.

RBI Governor D Subbarao said, “Rakesh has been recognized internationally for his expertise in macroeconomic issues and brought honor to RBI. Over the last several months, as I traversed a steep learning curve, I have grown to depend on him for advice and counsel.”