Wrap-up: Not laughing all the way to the bank

It is over a month now that high value currency notes were demonetised. But the situation is yet to limp back to normalcy. Going by the estimate given by Prime Minister Narendra Modi, the situation should be better in another 10 days or so. However, by the Opposition’s estimate, another seven months will be required for the demonetisation exercise to be over.

Meanwhile, people thronging banks and queuing up in front of ATMs is the new normal.

Earlier this week, in yet another step towards going cashless, the Chief Ministers’ panel on digital payments advised the Union government to roll out from December 25 a more user-friendly version of USSD or *99# being used on feature mobile phones for making cashless payments.  

Also, with the country’s banking system failing to meet the soaring cash demand  of the public as only around Rs 3 lakh crore of money has been infused into the system out of the total Rs 16 lakh crore which was taken away post-November 8, the Centre announced giving away daily, weekly and even mega cash incentives totalling Rs 340 crore to promote digital payments, starting Christmas.

Cracking the whip on defaulters on Wednesday, the Income Tax department has warned taxpayers against misusing the provisions of revised tax returns for the past years to pass off their undisclosed income and escape action under new taxation laws.

Meanwhile, politics on the economic reform continued as usual. Congress vice-president Rahul Gandhi said on Wednesday that he had information about “personal corruption” charges against Prime Minister Narendra Modi because of which he (the PM) was too terrified to let him speak in Parliament.

Also, for the second time in a row, BJP veteran L.K. Advani expressed distress at the continuous disruption of the Lok Sabha, invoking the party’s golden standard, former Prime Minister Atal Behari Vajpayee, and even going to the extent of saying that he wanted to resign.

Later, the Winter Session of Parliament ended on Friday. With the demonetisation issue ruling the roost, proved the least productive session in last 15 years.

However, on the same day, the Supreme Court refused to tinker with the notes ban issue. The SC, which framed nine issues for adjudication by a five-judge Constitution Bench for authoritative pronouncement on the government's demonetisation decision, also refrained from making any amendment to the directive to limit weekly withdrawal at Rs 24,000.

The government also got a relief as the bench stayed the proceedings on pleas challenging the demonetisation notification pending before different high courts and said that only the apex court would hear them.

To promote digital payments: Daily, Weekly and Mega Cash Awards

• The cash awards begin from Christmas day under ‘Lucky Grahak Yojana’ and ‘Digi Dhan Vyapar Yojana’.
• The schemes will cover small transactions between Rs 50 and Rs 3,000 to encourage every section of the society to move to digital payments.

National Payment Corporation of India will announce:

• 15,000 winners Rs 1,000 each for next 100 days
• 7,000 weekly awards

Figure this:

• Rs 12.44 trillion: The amount the banks have received in old notes till December 10
• Rs 4.61 trillion: The amount disbursed by the banks in new notes till December 10
• 21.8 bn: Pieces of various denominations disbursed
• 20.1 bn: Pieces were of Rs 10, Rs 20, Rs 50 and Rs 100 disbursed
• 1.7 bn: Pieces of Rs 500 and Rs 2,000 notes disbursed
• First draw - December 25
• Mega draw - April 14
• Totalling Rs 340 crore

Mega awards
For consumers: Rs 1 crore, Rs 50 lakh, and Rs 25 lakh
For merchants: Rs 50 lakh, Rs 25 lakh, and Rs 5 lakh