New Delhi : Finance Minister Arun Jaitley on Wednesday said demonetisation may not have completely eliminated black money, but dealing in unaccounted cash has become very difficult. He further said property prices have moderated and digital payments are increasing following the government’s decision to scrap old Rs 500/1000 notes with effect from November 9, 2016. In an interview to a private TV channel, Jaitley said he would not say that black money “has completely gone out” of the system but it is certain that transacting in unaccounted cash has become very difficult.
“This message has gone out loud and clear,” the minister said. Following the note ban, property prices have declined by 20-30 per cent in Delhi and Mumbai, which were witnessing an artificial boom, Jaitley said, adding “why should properties in Delhi and Mumbai be more expensive than in New York and London”. Now properties are being sold at “realistic prices”, he said. In another interview to public broadcaster DD News, Jaitley said demonetisation has squeezed terror financing, increased digital transactions and reduced high denomination currency in the system. Jaitley said Prime Minister Narendra Modi by one decision has brought all these important issues to the centre stage of the country’s economic agenda.
“This is a long drawn process. But I think the beginning is meaningful,” he added. Demonetisation had scrapped 86 per cent of the currency in circulation, leading to cash crunch across the country, which gradually eased with remonetisation.
Finmin officials to brief Parliament panel Top officials of the finance ministry will brief a parliamentary committee on Wednesday on the ramifications of demonetisation of old Rs 500 and Rs 1,000 currency notes carried out a year ago, sources said.
The Parliamentary Standing Committee on Finance, headed by former minister and senior Congress leader M Veerappa Moily, has been looking into demonetisation, which was announced by the government on November 8 last year, and its impact on the economy.
According to sources, the committee would meet again on November 16 before finalising its report for submission to Parliament in the upcoming session. As per the Lok Sabha website, representatives are scheduled to brief the panel on “demonetisation of Indian Currency notes.”
Review of demonetisation
