New Delhi: International Monetary Fund Executive Director Y Venugopal Reddy has been appointed new Governor of Reserve Bank of India (RBI) for five years, an official announcement said on July 18 night.

Reddy, a former Deputy Governor of RBI, succeeds Bimal Jalan. Reddy's name has been cleared by the Appointments Committee of the Cabinet chaired by Prime Minister Atal Behari Vajpayee.

"Reddy will be the new Governor of RBI. He will take over after Jalan demits office," an official spokesman said.

Finance Ministry is expected to issue a formal notification shortly regarding appointment of Reddy, a retired Indian Administrative Service (IAS) officer of 1964 batch. However, the date for Reddy to assume his new assignment is yet to be decided.

Official sources said Jalan had conveyed to the government that he wanted to step down ahead of expiry of his tenure.

PTI