Banning high domination notes a powerful, bold, decisive step: Secretary Economic Affairs

Hailing Prime Minister Narendra Modi-led NDA Government's move of banning high denomination notes, Secretary Economic Affairs Shaktikanta Das on Tuesday dubbed the endeavour as powerful, bold and decisive.

Das while addressing a press conference said that the fake Indian currency notes and the usage of black money fuel inflation and corrode the basis of our economy and eat in its vitals.

"The decision to cancel the legal tender scatters of 500 and 1000 rupees note is a very bold, powerful and decisive step to fight the menace of black money and the use of fake Indian currency notes. Counter fate fake Indian currency notes for financing of terrorism," Das said.

"They look similar to the real notes. The fake Indian currency notes and the usage of black money fuel inflation and corrode the basis of our economy and eat in to the vitals of our economy. RBI will release new currency notes with new features, designs and dimensions from 10 November onwards," he added.

RBI Governor Urjit Patel earlier today asserted that the Centre's endeavour to ban Rs. 500 and Rs. 1000 notes has been taken to combat the misuse of high denomination notes for terror financing and for leashing the hoarding to black money.

Patel also said that the RBI has increased the production of the new currency to provide new notes as soon as possible.

"Government had observed misuse of high denomination notes for terror financing and also for hoarding black money. The RBI has been concerned about the growing menace of the fake Indian currency notes which has been increasing in numbers," Patel said.

Prime Minister Narendra Modi earlier today announced that the currency notes of Rs. 500 and Rs. 1000 denominations will not be legal tender beginning November 9.

The Prime Minister also added that all banks will remain closed for public work tomorrow.

Notes of Rs. 2000 and Rs. 500 will be circulated soon.

The Prime Minister further said that on November 9 and in some places on November 10, ATMs will not work.