This is with reference to ‘Programmed to reject demonetisation’ by Ramya Rangnathan (November 25). Although the writer’s assessment is correct, demonetisation has affected everybody; only the scale and type are different.

When banks were computerised, the opposition to ATMs and the new system was scary. Economists will have divergent views on demonetisation, but the shift in pattern of spending is going to change forever.

Rahul J Gautam

Bengaluru

Telling comment

Manmohan Singh’s speech pointing out that demonetisation has turned out to be dehumanising due to lack of adequate planning, is telling. However, the effort to flush out black money and counterfeiting is laudable. Popularising digital payments would considerably limit such nefarious activities.

Christopher Antony

Kochi

Manmohan Singh’s advice to ‘reflect’ on the content of his speech needs to be taken seriously by all including the victims (common man) and factored into their future action plans. Instead of alleging that he did not act or speak at the appropriate time or at appropriate fora, policymakers should co-opt the former PM’s experience and wisdom to make corrections in the crusade against corruption, fake currency and terrorism.

MG Warrier

Mumbai

At last Manmohan Singh has opened his mouth. But for what? Whoever feels he/she has genuine, hard-earned money can exchange the old notes or deposit them into the account. Only those with money unaccounted for need to worry. By opposing this brave move, the Opposition seem to be digging its own grave. Any move to oppose demonetisation is nothing but support to black money. Such people are more anti-national than the cruelest of the cruel. Cleaning the economy is like cleaning a house; there will be some dust. It is the best medicine for a better tomorrow.

Raghavendra A Choudhari

Hubbali, Karnataka

Media support

The media have successfully highlighted the effects of demonetisation. At last a PM has taken a bold decision, right or wrong. The media should also give practical suggestions and support the initiatives, while highlighting various issues. As a banker I agree it has been a monumental logistics nightmare, under-estimated, ill-planned, and so on. But, successive governments have contributed to this massive hoarding of black money. Politicians who have been the biggest scamsters and hoarders are trying to extract advantage from the current fiasco.

Bharan Kumar

Mumbai

No reason to doubt

Scholars such as KC Chakraborty and Muhammad Yunus apprehend that black money will return soon, if strong protective measures are not taken. This apprehension has little base as centralised computerisation of financial institutions, large-scale financial inclusion, robust electronic data interchange among banks, tax and regulatory authorities, accessible payment systems (RTGS/ECS/ACH) and various preventive and detective controls to limit cash transactions are already in place.

Most of the existing black money was generated before these measures were in place. Much of this money requires no or small amount of support from the present system. The main purpose of demonetisation is to break this self-sustained black economy. Once this is broken, with preventive controls in place, it will be difficult for black money to achieve the same level.

There is an argument that gold and property are preferred to hoarding black money. But this may not be the case due to the simple reason that gold and property are not negotiable instruments. Non-negotiable instruments are not easily tradable but are easy to identify, and the source of income is easy to trace. Hopefully, the next few Acts will be make it more easy to detect and trace.

NK Gupta

Mumbai

LETTERS TO THE EDITOR

Send your letters by email to bleditor@thehindu.co.in or by post to ‘Letters to the Editor’, The Hindu Business Line, Kasturi Buildings, 859-860, Anna Salai, Chennai 600002.

Related Topics