Demonetisation was a colossal failure, Modi should apologise: KTR

HYDERABAD: TRS working president and IT minister K.T. Rama Rao described the demonetisation, announced by Prime Minister Narendra Modi on November 8, 2016, as a 'colossal failure' and demanded his apology.

Rama Rao based his demand on recent Reserve Bank of India (RBI) data which revealed that six years after demonetisation  the cash with the public had increased by 72 per cent from Rs. 17.97 lakh crore in 2016 to Rs. 30.88 lakh crore now. The 'failed' demonetisation completes six years on Tuesday, he pointed out while recounting the impact of the decision.

Rao on Monday tweeted, "What a colossal failure this Demonetisation was & let’s not forget how it crippled the growing Indian economy (sic)."

Dubbing it a ‘half-baked’ idea, Rao stated that this move had led to eight consecutive quarters of slowdown, serving a body blow to the vibrant economy.

The fact that six years after that hasty decision to scrap the high-value currency in circulation, the amount of currency with the public had hit an all-time high was proof of the magnitude of the failure of demonitisation, he added.

Rao said that when demonetisation was announced, Modi listed out several ‘benefits’ that would accrue over a period of time. Six years later, it is clear that all those claims have fallen flat. Wild claims were made that it would reduce cash in circulation, end terrorism, reduce black money and counterfeit currency and usher in cashless economy. All these claims have proved wrong, he said.

He demanded the Prime Minister to take urgent measures to bring the economy back on track.