Demonetisation : Is It Modi's Success or Failure
By Vamsi Krishna N : 05-Jan-2017
Prime Minister Narendra Modi is faced with a huge question mark from the Indian people, after receiving 97% of demonetised currency notes, since the Novemeber 8, the day when the legal tender of Rs. 1000 and Rs. 500 notes have been withdrawn by the government.
The sources revealed that the RBI has received Rs. 14.97 trillion as on December 30, the deadline for returning the scrapped currency notes of Rs. 1000 and Rs. 500 by the Indian citizens. However, the government has also received huge criticism from many segments, including from within the party, about the poor implementation of the demonetisation move that resulted in critical hardships for the general public.
The Shiv Sena has also criticised the government saying that the demonetisation had resulted in a sense of fear among the general public, similar to that people have faced during the British rule.
Uddav Thackeray said to media in a statement that, “People are alive and that is why these are ‘acche din’. Wool is being pulled over your eyes when they claim that people are supporting demonetisation.”
Even the opposition led by the Congress has asked for an investigation into the matter, seeking to set up a committee and to present a White Paper in the Parliament on the Prime Minister’s demonetisation move taken on November 8.
According to the Centre for Monitoring Indian Economy, further, to the dismay, the demonetisation has also shown an impact on the number of announcements of new investment proposals by the government for the quarter ended December 2016. For the quarter ended December 2016, new investment proposals worth Rs. 125000 crore worth have only been announced by the Modi government, when compared to the Rs. 236000 crore worth of new investment proposals per quarter, an average of the preceding nine quarters.
However, the Modi government has supported their stance, by saying that the demonetisation move will have positive impact on the economy in the long run.