Pinarayi Vijayan, the chief minister of Kerala, has strongly disagreed with the central bank’s decision to outlaw Rs 2,000 notes, claiming it is the second time in the past seven years that the country has had to withdraw its legal tender. He claimed that the action would make the nation’s economy appear fragile.
‘In 7 years’ time, this is the second time that currencies in circulation in the country were withdrawn. The situation is such that our country’s economy will be seen as one of the most unstable. The note bans, GST implementation, and Covid lockdowns have all caused major setbacks to the Indian financial sector,’ he said.
The chief minister quoted the Center’s announcement that it had ‘decided to tackle tourism’ and continued, ‘If we look at terrorism in the country, in the previous six years, there have been about 1,300 lives lost in 300 incidents. It’s a moment when protests against the Centre over its failure to combat terrorism are taking place in a number of locations, including Jammu and Kashmir,’ he said.
‘It was after note ban, the Pulwama attack took place. Everybody would have heard the remarks made by the then Governor of Kashmir about the attack. I am not going too much into its details now,’ he added.
The Reserve Bank of India (RBI) announced last Friday that Rs 2,000 notes would only continue to be legal tender and would no longer be in circulation. The RBI stated in a notification that approximately 89% of the Rs 2,000 banknotes were printed before March 2017 and are nearing the end of their anticipated lifespan of 4 to 5 years.
After demonetisation resulted in the use of Rs 500 and Rs 1,000 notes being prohibited, currency notes of Rs 2,000 were launched in November 2016.
The use of Rs. 2,000 notes was fulfilled after other denominations became sufficiently available, according to the RBI’s explanation of the move. According to RBI, no new Rs 2,000 notes will be printed in 2018–19.
Post Your Comments