New Delhi, Nov 13 : The RBI's original proposal was to issue high-value new currency notes in the denominations of Rs 5,000 and Rs 10,000, but the Narendra Modi government finally decided to go in for Rs 2,000 denominations, Finance Minister Arun Jaitley said on Saturday.
"RBI's original proposal was to issue Rs 5,000 and Rs 10,000 currency notes, one, for (curbing) inflation and two, for convenience in handling. The government thought otherwise, because we wanted replacement currency to be available immediately, and hence we decided to go in for Rs 2,000 notes," he said while participating in a programme on India TV here.
"Today, there are adequate numbers of Rs 2,000 notes available with banks, and if all the people start taking Rs 2,000 notes, there won't be any more queues outside banks," he said.
As far as issuing new Rs 1,000 currency notes is concerned, it will be done, he added.
Jaitley said revealed that nearly Rs 300 crore has been deposited in Prime Minister's Jan Dhan bank accounts in the last three days.
"You must accept that transacting in black money is nobody's fundamental right in this country," he said, while seeking to justify the step.
Jaitley noted that soon after the demonetisation announcement on November 8, several shops were opened in some parts all through the night to allow black money hoarders to purchase gold.
Similarly, huge cash was paid to buy high-value railway tickets and get refunds, he added.
On the recalibration of ATMs for dispensing new design currency notes, Jaitley said, it would take two to three weeks, since the present machines are designed to dispense only Rs 100, Rs 500 and Rs 1,000 notes.
"We can't change them overnight, and the system's technology requires at least 2-3 weeks for recalibration of nearly 2 lakh ATMs."
Asked why preparations were not done earlier, he said that "secrecy was of paramount importance".
"We were to keep everything secret till November 8. You can't say, we take a decision, press a button, and all the ATMs would function. It doesn't work like this," he said.
Jaitley said that that it was only the Prime Minister, the Finance Minister, one or two officials in Finance Ministry and the Reserve Bank of India, who knew about the move, on a "need to know" basis.
"As per precedent, on November 8 at 6 p.m., RBI sent its formal recommendation to the government for demonetisation, at 7 p.m. the Cabinet was informed about the decision, all ministers stayed inside the room, till the Prime Minister announced it at 8 p.m. to the nation," he said.
Rejecting reports that an image of the new Rs 2,000 currency note had appeared in social media, Jaitley said that there was no "leak" about the decision.
On Delhi Chief Minister Arvind Kejriwal's charge that some people in the ruling party knew about the move in advance, he said:
"His (Kejriwal's) statements do not carry credibility any more. I checked about any particular surge in bank deposits during September and October, and I found that the maximum surge in bank deposits had taken place between August 31 and September 15, at a time when the arrears of Pay Commission were being disbursed."
Jaitley also said that political parties would now have to change their funding system.
"I know the two leaders are facing problems, but there was no political motive behind this decision.
"Yes, there will be a political effect, which I will not refuse to admit, that political funding for all parties, including BJP, will now become fully transparent. It was a misfortune that the world's biggest democracy had no transparent funding mechanism in place till now
Haryana, July 21: In a shocking incident, The Haryana Police arrested a 60-year-old godman in Fatehabad on Friday for allegedly raping 120 women under the guise of treatment, sources said. Accordin ..Written by : IANS | 06:45 PM
Hyderabad, July 21: In a significant development, Hyderabad Metro Rail (HMR) will extend its services to LB Nagar in the last week of August and to Hitech City in October, HMR Managing Director N V S ..Written by : IANS | 05:18 PM
Mumbai, July 21: We all knew that Bollywood beauty Sonam Kapoor got married to Delhi based businessman Anand Ahuja recently. The duo made an adorable pair and social media has been filled with the ..Written by : IANS | 05:13 PM
New Delhi, July 21: In a shocking news, Bangladesh fast bowler Mustafizur Rahman will not be available to participate in overseas T20 Leagues for next two years. "It cannot go on like this. He will ..Written by : IANS | 03:58 PM
Hyderabad, July 21: Small screen popular TV-anchor Pradeep Machiraju has made an official announcement about his Wedding! He is going to search his life partner through TV show Pelli Choopulu. Prad ..Written by : IANS | 03:46 PM
Hyderabad, April 12: Nagarjuna's song "Ninnu Roddu Meeda Chusnadi Laggayithu" one of the most popular songs in 1990's. The Song has got a tremendous response in that time. The SOng was super hit film ..Written by : IANS | 05:04 PM
Hyderabad, Apr 10: Preparations related to NTR Rama Rao biopic are ongoing. Bala Krishna is playing the role of NT Rama Rao while the rest of the cast has to be finalized. The selection process for th ..Written by : IANS | 02:13 PM
Hyderabad, Apr 03: Power star Pawan Kalyan has congratulated on the hit of Rangasthalam team here on today. Pawan spoke to Charan after watching "Rangasthalam" on the special screen, he told that h ..Written by : IANS | 04:47 PM
Hyderabad, Mar 26: The Tollywood Gorgeous actress Anushka Shetty had a fabulous start to 2018 with the solid success of Bhaagamathie. Although there have been several rumors on her future projects ..Written by : IANS | 03:04 PM
Kolkata, July 21: Here is the big blow for th ..
Haryana, July 21: In a shocking incident, The ..
Kolkata, July 21: West Bengal chief minister ..
New Delhi, July 21: In a shocking incident, A ..
New Delhi, July 20: On Friday, Congress Presi ..
New Delhi, July 20: India's government is hol ..
New Delhi, July 20: The Congress President Ra ..
New Delhi, July 20: India's giant telecom net ..
New Delhi, July 20: Remarkable scenes unfu ..
New Delhi, July 20: Telugu Desam Party MP ..
New Delhi, July 20: Nowadays we are seeing a ..
San Francisco, July 20: In a shocking news ..
New Delhi, July 20: Cristiano Ronaldo has ..
New delhi, July 19: In a further tightenin ..
London, July 18: Reportedly, it is informe ..
England, July 17: In a shocking news, A man d ..
Manhattan, July 17: It's not easy to stand ou ..
Beijing/Islamabad, July 16: In a shocking dev ..
Chicago, July 16: It is already known that a ..
Washington, July 15: India-US are expected to ..
New Delhi, July 21: In a shocking news, Bangl ..
New Delhi, July 19: Mahendra Singh Dhoni h ..
New Delhi, July 19: As we all knew that, M ..
New Delhi, July 18: The Former Indian Cricket ..
France, July 16: France have won the 2018 Wor ..
Nottingham, July 13: India defeated England b ..
New Delhi, July 12: India captain Virat Kohli ..
Bristol, July 10: Indian Batsmen Rohit Sharma ..
Mumbai, July 10: Sunil Gavaskar marked his 69 ..
New Delhi, July 09: Hitman Rohit Sharma, purr ..
New Delhi, July 21: Reliance Jio has introduc ..
Hyderabad, July 21: In a move that will direc ..
Hyderabad, July 19: Tollywood incredible l ..
New Delhi, July 19: Mobile giant Xia ..
China, July 17: The trendsetter of the mob ..
New Delhi, July 10: The company has priced th ..
New Delhi, July 10: Here is the good news for ..
New Delhi, July 09: WhatsApp has been in the ..
Hyderabad, July 09: A Survey published an int ..
New Delhi, July 08: Electronics manufacturer ..