When Reserve Bank of India Gov. Urjit Patel abruptly resigned this week, it stunned many people in government and business circles.

Patel's decision, which came on Monday after months of bad blood between India's central bank and the government, is the latest sign that the ruling Bharatiya Janata Party, led by Prime Minister Narendra Modi, is increasingly demanding that it get its way in the country's premier institutions.

From the RBI, the government demanded a reduction in lending curbs and a share of its surplus reserves.