Economy

Wide Angle: Taking Stock of the Demonetisation Fallout

Swadeshi Jagran Manch convener Ashwani Mahajan and Jawaharlal Nehru University professor Himanshu join Maya Mirchandani to discuss the mixed balance-sheet.

  • Ashok Akbar Gonsalves

    Dr Mahajan comes across as thoroughly unconvincing. He asks “whats the harm if all the notes have come back into the system”, conveniently forgetting that that wasnt the original and stated intent. The govt (as publicly mentioned by the CAG and widely discussed in other forums) expected and planned for several lakh crores to NOT come back, which is why it had set hard deadlines on the return of currency. If it had wanted all the notes to be returned, the govt would have done it differently – it would have given us more time and in other ways made it easier for us to deposit the money. All of which means that the govt did NOT expect 99% of the currency to come back; it had not bargained for getting sucked into years of scrutiny by the income tax dept, trying to separate black from the white lying in lakhs of bank accounts (it would have augmented its income tax infrastructure before taking this step, if scrutiny was its plan). But this is being now spun has a good thing and as the intent of the whole exercise! And sadly, the gullible and the blind are buying it.

  • ashok759

    Read a column by Prof. Himanshu a few months back and it left a lasting impress.