The Polit Bureau of the Communist Party of India (Marxist) has issued the following statement:
The Prime Minister has announced that he will make fresh announcements after the deadline of December 30 on the demonetization of Rs. 1000 and Rs. 500 notes. The Polit Bureau of the CPI(M) demands that the following steps be taken, while making the new announcements:
- Since the deadline of December 30 is over, all restrictions on the withdrawal of money by people from their own hard earned money in the banks must be removed forthwith.
This demonetization has further pushed the beleaguered and stumbling Indian economy into a tailspin causing immense misery to the poor and the downtrodden who survive on daily cash earnings. The consequent recessionary tendencies must be countered by:
- Immediate debt waiver for farmers suffering due to the disruption of normal agricultural activities.
- Double the allocation for the MNREGA to ensure hundred days of employment for all those who are enrolled.
- Provide tax rebate to small and medium enterprises whose economic activity has come to a standstill as they are conducted mainly in cash transactions.
- Remove all restrictions on deposits and withdrawals of funds from the cooperative banks. If there are any specific cases of malpractices against any bank, they should be proceeded against on criminal charges, but the cooperative banking system which is the backbone for rural India cannot be destroyed.
This demonetization will lead to a significant revenue loss in many states. To address this crucial issue:
- The Centre must compensate the state governments for the loss in revenue that they are incurring.
- The borrowing ceiling on the state governments in accordance to the FRBM Act must be raised form 3 to 4 per cent of the Gross State Domestic Product.
Since the PM is constantly emphasizing on the need to shift to a cashless economy, it is necessary to ensure that people are not burdened with additional costs. Therefore,
- Remove all digital transaction costs.
- All ration card holders must be ensured supplies. The condition of making Aadhar card compulsory has led to a very large number of people being denied their rations.
The Prime Minister must publicly declare the quantum of demonitised money that has returned to the banks. Two weeks ago the RBI has said that 82 per cent of the old notes are back in the banks.
- Has all of the demonetized money come back into the banks now?
If it has that means all the black money has been converted into white. If more has come that means all the counterfeit currency has been legalized.
- What is the quantum and value of new notes that have been printed so far?
- By when will the value of demonetized money be back in circulation through new notes?
The PM has been talking a lot about ending corruption.
- Why has the government not instituted probes into the various scams like Vyapam, Sahara-Birla dairies etc?
- Reportedly 100 people have died in their efforts to withdraw their own hard earned money from the banks while standing in the queues. These families must be immediately be given adequate compensation.
- What is the government’s estimation of the economic loss to the nation as a result of this move?
- How many people have lost their jobs and livelihood since demonetization was announced on November 8, 2016?
It is imperative that the Prime Minister answer all these questions and take the necessary measures to provide at least some relief to the vast majority of our people who are suffering.