Printing of cash to be ramped up; shortage is short-term: Sanjeev Sanyal

As with any large economy, the demand for cash does vary quite a bit in India, he said

As the Centre deals with the fallout of cash shortage in certain parts of the country, Principal Economic Advisor in the finance ministry, SANJEEV SANYAL tells Arup Roychoudhury that the demand for cash has seen a spike of late. Sanyal said there is no erosion of public confidence in the banking system and that there will be ‘no knee-jerk’ reaction to the problem at hand. Edited excerpts:

The government says that the demand for cash has been growing in the last three months. Why does cash shortage still persist?

There has been a spike in demand as the finance minister