Diplomat private sector banker
A member of the 1936 batch of the Indian Civil Service,he was educated at Banaras Hindu University, Varanasi, Trinity College, Cambridge University, and London School of Economics,United Kingdom He studied economics at Cambridge when Keynes was teaching there.
Jha rose to be a Deputy Secretary in the Department of Supply, during British rule and was appointed an Administration Member of the Order of the British Empire for his service in the 1946 New Year Honours. After Independence he had served as secretary in the Ministries of Industries, Commerce and Finance and Secretary to the Prime Minister of India, Lal Bahadur Shastri(1964-1966) and Indira Gandhi(1966-1967) prior to his appointment as Governor of Reserve Bank of India. During his tenure the Indian Rupee notes of denominations of 2, 5, 10, and 100, commemorating the birth centenary of Mahatma Gandhi were released on 2 October 1969, these notes bear his signature, both in English and Hindi.The signature in Hindi, the official language of the Government of India, appeared on the currency notes for the first time during his stewardship of the Reserve Bank of India. A subsequent re-issue on this series notes bears the signature of B. North. Adarkar. His tenure also saw nationalization of 14 major commercial banks, introduction of social controls over commercial banks, establishment of National Cr Council, and the introduction of Lead Bank Scheme to facilitate cr delivery.
Amongst other developments, gold controls were brought on a statutory basis.
Deposit Insurance was in principle extended to Cooperative banks. And the setting up of the Agricultural Cr Board was undertaken.
He served as India"s ambassador to the United States during the crucial period 1970-1973 when India fought a war with Pakistan and liberated Bangladesh. Kissinger has acknowledged his persuasive diplomatic skills in the book " White House Years".
Jha authored a few books including "Mr.
Red Tape" and "Economic strategy for the 80s: priorities for the Seventh Plan". He was chairman of the Economic Administration Reforms Commission of the Government of India from 1981-1988.He also served as the adviser on econonomic matters to the P.M. Indira Gandhi and later to the P.M. Rajiv Gandhi. The Reserve Bank of India instituted the L.K. Jha Memorial Lectures in commemoration of his memory.
He was governor of Jammu and Kashmir state from 3 July 1973 to 22 February 1981.His role as an impartial Head of State is still remembered with affection and respect in J&K. He was a member of the Brandt Commission during the 1980s on the North -South economic issues. At the time of his death, Jha was a member of the Rajya Sabha.
