Prime Minister Narendra Modi on Sunday praised his government’s demonetization move four years ago, saying it gave a boost to transparency. In a tweet on Sunday, Modi said the measure helped reduce black money, increased tax compliance and formalization, and gave a boost to transparency and that the results have been beneficial to the country’s progress.
In the charts accompanying the tweet, the Prime Minister noted that India had become a less cash-based economy with better tax compliance. It said that the self-assessment tax of more than Rs 13,000 crore was paid by the target non-filers and people of 3.04 lakh were identified who deposited cash of Rs 10 lakh or more but had not submitted their tax returns. He also claimed that demonetization helped improve India’s tax-to-GDP ratio.
On November 8, 2016, Prime Minister Modi announced the decision to ban all higher denomination banknotes of Rs 500 and Rs 1000 from midnight. Long lines were witnessed outside the ATMs for several days after that, as people tried to get new bills in hand. Most of the old notes in circulation were deposited in banks. The measure was criticized by various sectors and the opposition claimed that it had damaged the economy.
Congress observed the fourth anniversary of demonetization as ‘Vikshwasghaat Diwas’ (day of betrayal), as it ran a social media campaign ‘SpeakUpAgainstDeMoDisaster’ and criticized the government claiming that it has continually changed the explanatory reasons for carrying out the measured four years ago. The demonetization has “destroyed” the economy, he added.
Congress Secretary General Ajay Maken in a press conference cited the comments of former Prime Minister Manmohan Singh on November 24, 2016 to attack the government. “The way this scheme was implemented is a monumental mismanagement and, indeed, it is a case of organized loot, legalized looting of ordinary people,” Maken said.
Congressional leader Rahul Gandhi alleged that Prime Minister Modi’s move four years ago was aimed at helping some of his “crony capitalist friends” and had “destroyed” the Indian economy. In a video posted as part of the party’s ‘SpeakUpAgainstDeMoDisaster’ online campaign, Gandhi said the question is how the Bangladeshi economy “outperformed” the Indian economy as there was a time when India used to be one of the economies. highest performing world.
“The government says the reason is Covid, but if that is the reason, there is Covid in Bangladesh and other parts of the world as well. The reason is not Covid, the reason is ‘Notebandi’ and GST, ”Gandhi said in Hindi.
Q Chidambaram, Mallikarjun Kharge, Shashi Tharoor and Salman Khurshid were among the top leaders in Congress who also criticized the government for demonetization as part of their party’s online campaign.
“The first lesson that every ruler and government must learn is that, even if you do not do good to the people, do not harm them. The NDA government led by the BJP did great damage to the Indian economy on November 8, 2016, ”said Chidambaram, a former Union finance minister.
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