• The main controversy is related to the alleged pressure from the Modi Government on the Reserve Bank of India (RBI) to relax its lending rules, allowing banks to lend more money to defaulters.
• Congress claims that this pressure is intended to help big borrowers, who are struggling to repay their loans.
• The RBI Governor Urjit Patel has publicly denied these allegations, stating that the central bank has full autonomy in its decision-making process.
• However, this controversy has created uncertainty among investors and the public, and has had a negative impact on the Indian economy in terms of inflation, exchange rates, and foreign investment.
• The RBI has already faced several challenges in recent months, including a liquidity crisis in the non-banking financial sector and a high rate of bad loans among public sector banks.
• If the controversy continues, it can affect the credibility of the RBI and undermine investor confidence in India's financial system.
• The Government and RBI must work together to restore trust in the central bank and its autonomy, while also addressing the challenges in the banking sector and ensuring sustainable economic growth.

Overall, the controversy highlights the importance of maintaining the independence of the RBI and upholding transparency and accountability in India's financial system.