RBI’s submission to parliamentary panel ‘reveals’ note ban was Modi govt’s idea

RBI’s submission to parliamentary panel ‘reveals’ note ban was Modi govt’s idea

The RBI has for the first time admitted that the demonetisation idea had originally come from the Centre’s Narendra Modi government. According to its written submission before a parliamentary committee last month, the RBI said that it approved the note ban idea a day after it was ‘advised’ by the Modi government.

In a seven-page note submitted to the Parliament’s Department Related Committee of Finance headed by Congress leader M Veerappa Moily, the RBI said, “Government, on 7th November, 2016, advised the Reserve Bank that to mitigate the triple problems of counterfeiting, terrorist financing and black money, the Central Board of the Reserve Bank may consider withdrawal of the legal tender status of the notes in high denominations of Rs 500 and Rs 1,000.”

Modi govt's idea

According to Indian Express, which reported the contents of the note submitted before the parliamentary panel, the RBI Central Board had met the very next day to “consider the Government’s advice,” and after “deliberations,” decided to recommend to Central Government that the legal tender status of the banknotes in the high denominations of Rs 500 and Rs 1000 be withdrawn.”

For More: http://www.jantakareporter.com/india/note-ban-modi-govts-idea/92747/

Leave a Reply

Your email address will not be published.