, Columnist
Rajan's $48 Billion Test
Clearing loss-making Indian utilities' debt will create other headaches for the former electrical engineer.
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Reserve Bank of India Governor Raghuram Rajan finally has a chance to put his degree in electrical engineering to good use. Powering up India was supposed to be the government's job, but somehow the mandate to make reasonably priced electricity available to more than a billion people has become his headache.
It's a $48 billion financing challenge, and to find that money, the former International Monetary Fund chief economist has to placate irate bond vigilantes. One misstep, and all investors in the nation -- equity or debt -- could end up paying a heavy price.