Tag: BJP demonetisation

Decision to Withdraw Rs 2,000 Note Has Created The Same Situation as 2016, Say Petrol Dealers

The All India Petroleum Dealers Association said that people are trying to use the Rs 2,000 note even for small transactions, causing a shortage of change at petrol outlets.

New Delhi: The All India Petroleum Dealers Association (AIPDA), which represents petroleum dealers nationwide, has said that RBI’s decision to withdraw the Rs 2,000 note has created the same difficult situation that the demonetisation drive did in November, 2016. 

In a press note released on Monday, the association pointed out that customers are trying to use the soon-to-be withdrawn note even for small transactions, causing a shortage of change at petrol pumps all over the country.

AIPDA President Ajay Bansal, in the note, said that the number of cash transactions involving the Rs 2,000 note has increased since its withdrawal was announced. “Before this Rs 2,000 withdrawal we used to receive only 10% of our cash sale through the Rs 2,000 note but now almost 90% of cash received at our outlets is in the form of Rs 2,000 notes only,” the press release read. 

The association also expressed concerns over potential income tax notices and raids due to increased sales during this period. “We are afraid that we would face the same problems in the current scenario that we faced after demonetisation when most dealers received Income Tax Notices for no fault of their own,” it said in the statement. 

Before the announcement to withdraw the Rs 2,000 note, nearly 40% of their daily sales happened through digital transactions that have now declined to a mere 10% as customers are ‘desperately’ trying to use the Rs 2,000 note, AIPDA said. 

The association requested for people’s cooperation and urged customers to understand petrol dealers’ limited ability to meet the demand for change. It also asked the RBI to supply smaller currency at petrol pumps across the country to ensure their smooth functioning. 

Unemployment High Due to ‘Ill Considered Demonetisation’: Manmohan Singh

Singh said temporary measures by the government to paper over the credit problem cannot blind us to the looming credit crisis ahead that could affect the small and medium sector.

Thiruvananthapuram: Attacking the Centre, former Prime Minister Manmohan Singh on Tuesday said unemployment is high in the country and its informal sector is in shambles following the “ill-considered demonetisation decision” taken by the BJP-led government in 2016.

He also criticised the central government for not holding regular consultations with the states.

Inaugurating a development summit virtually organised by the Rajiv Gandhi Institute of Development Studies, an economic think tank aligned with the Congress ideology in poll-bound Kerala, Singh said temporary measures by the government of India and the Reserve Bank to paper over the credit problem cannot blind us to the looming credit crisis ahead that could affect the small and medium sector.

“Unemployment is high and the informal sector is in shambles, a crisis precipitated by the ill considered demonetisation decision taken in 2016,” he said at ‘Pratheeksha 2030’.

The summit was organised to launch a Vision Document, a framework of ideas for the development of Kerala well in advance of the state elections.

He said in Kerala and in many other states, public finances are in disarray with states having to resort to excessive borrowing, which creates an intolerable burden on future budgets.

Also read: Kerala Local Body Polls: BJP’s ‘Saffron Surge’ Claim Can’t Be Dismissed As Hype

“Federalism and regular consultation with states, which was the cornerstone of Indias economic and political philosophy as enshrined in the constitution, no longer finds favour with the present central government,” he said.

Singh said while Kerala’s social standards are high, there are other sectors that need strong attention in the future.

“There are many roadblocks ahead that the state has to overcome. The global downturn of the last two or three years, aggravated by the pandemic, has made the global interface of Kerala more fragile.

“While the increased use of digital modes of work may keep the IT sector afloat, tourism has been hit badly and the rate at which the pandemic is galloping in Kerala poses challenges for this industry”, Singh said.

Noting that the focus on health and education has enabled Kerala to take advantage of job opportunities elsewhere in the country and in all parts of the world, Singh said this has led to a growing stream of remittances from abroad which created a booming real estate sector and sharp growth of the services sector, led by tourism and information technology.

“In the midst of all the gloom, I see the UDF’s steadfast adherence to planned growth with a clear sense of direction and concern for the common man a beacon of hope, not only for Kerala, but for the whole country”, he said.

“When I presented the national budget in 1991 as Finance Minister, I quoted Victor Hugo, who had said, “Nothing is more powerful than an idea whose time has come.”

I get the feeling that the unanimity and clarity displayed by the UDF on the road ahead will lead to Kerala’s idea moment arriving this year”, he said.