Calling the government’s decision to ban 500 and 1,000-rupee notes as courageous, Finance Minister Arun Jaitley said India now has the capacity to take and implement a decision on notes ban.
Addressing the gathering of the industry at a meeting in Delhi he said that, India has the capacity to take decisions on demonetisation, it’s no longer a fragile economy.”
Jaitley, who is also the Leader of the House in Rajya Sabha, said notes ban will have long term benefits and the whole process of re-monetisation will be done soon as the Reserve Bank of India or RBI is pushing in money.
“Long term benefits of note ban will be clear even if we bear short-term pain of some of this decision,” he said.
He noted that the long-term benefits of the demonetisation initiative are very clear even if we have to bear with the short-term inconveniences.
“Remonetisation will not take very long time, RBI will be able to complete it very soon,” Jaitley said.
“As far as the decision with regard to currency is concerned, I think it marks a very important beginning,” he added.
Jaitley’s address comes a day after parliament failed to debate on the demonetisation issue during its one-month long session. He also spoke of the supporting Goods and Services Tax legislations did not make it to the house during the winter session as the government could not come to terms with states on the GST rate and other issues.
“Ideally, GST should start from Apr. 1, 2017; constitutional necessity for new regime to come into force between Apr. 1 and Sept. 16,” Mr. Jaitley said