Friday April 20, 2018
Home India In the wake o...

In the wake of demonetisation of Rs 500 and Rs 1,000 Currency notes, Government directs Banks to expand Banking Facility in Remote Areas

It is a historical step and it will break the bones of the terrorist organisations and the people who are funding behind the cartel

0
//
164
Indian Currency, Pixabay
Republish
Reprint

Shillong, November 10, 2016: Minister of State for Home Affairs Kiren Rijiju on Thursday said the government has directed banks to expand their facilities in the remote areas to ensure that people have easy access to the financial system in the wake of demonetisation of Rs 500 and Rs 1,000 currency notes.

“We (government) have already asked all the bank branches to ensure that they should go further deep in terms of reaching out to the people in the remote areas of the country,” Rijiju told journalists here in Meghalaya.

NewsGram brings to you latest new stories in India.

However, he said the Reserve Bank of India has already made certain decisions to ensure that bank branches are open in various administrative centres or locations in the remote areas of the country.

“In the same manner in the northeast, we need to expand the reach of the banks so that people are linked with the financial system easily,” the minister added.

Minister of State for Home Affairs Kiren Rijiju. Twitter
Minister of State for Home Affairs Kiren Rijiju. Twitter

Reacting to Meghalaya Chief Minister Mukul Sangma’s attack on Prime Minister Narendra Modi’s ‘surgical strike’ on black money by way of demonetisation as an “insensitive move”, Rijiju said: “It is an initial inconvenience but you have to accept this therapy and you need this strong therapy to deal with the menace of black money, corruption and terror funding.”

“Good citizens are bearing with us and it is only some of the people because of whom the black money have been generated in this country and the corruption promoted. Only that person and group of people are having problem,” the union minister stated.

Go to NewsGram and check out news related to political current issues.

Lauding Prime Minister Narendra Modi for demonetising Rs 1,000 and Rs 500 denomination notes, Rijiju said: “This particular decision and announcement of Prime Minister has given deadly powerful blow to those people supplying the fake Indian currency notes as well as those involved in terror funding.”

“It is a historical step and it will break the bones of the terrorist organisations and the people who are funding behind the cartel.”

Rijiju added, “India has been facing grave challenges of corruption and black money which is circulating heavily in India illegally. With this decision, it not only will check corruption and black money but it will also stop terror funding and circulation of fake currency notes because the home ministry has been facing this problem, for long time.”

To a query, Rijiju said that there are still certain elements in Bangladesh who are involved in anti-India activities but the Sheikh Hasina regime is doing everything at its command to stop that.

Look for latest news from India in NewsGram.

“There are elements in various countries, but Bangladesh regime is very favourable to India, and the present regime is doing everything possible to ensure that no anti-India activity is taking place in Bangladesh,” he said.

“We are very grateful to the present leadership of the government of Bangladesh for all the cooperation so we don’t have much problem there but there are certain elements in Bangladesh who are involved in anti-India activities but the present regime is doing everything at its command to stop that,” he said. (IANS)

Click here for reuse options!
Copyright 2016 NewsGram

Next Story

How telecom has become driver of economic change in India

0
//
30
The country's hyper-competitive telecom sector has led the revolution from the front.
The country's hyper-competitive telecom sector has led the revolution from the front. Wikimedia Commons
  • India has done well to stay ahead of the curve in the technological revolution
  • The sectoral change in productivity has been the highest in the telecommunications sector since the reforms of 1991
  • India has managed to provide the cheapest telephony services around the world

For the most part of human history, the change was glacial in pace. It was quite safe to assume that the world at the time of your death would look pretty much similar to the one at the time of your birth. That is no longer the case, and the pace of change seems to be growing exponentially. Futurist Ray Kurzweil put it succinctly when he wrote in 2001: “We won’t experience 100 years of progress in the 21st century – it will be more like 20,000 years of progress (at today’s rate).” Since the time of his writing, a lot has changed, especially with the advent of the internet.

India has done well to stay ahead of the curve in the technological revolution. The country’s hyper-competitive telecom sector has led the revolution from the front. In fact, according to Reserve Bank of India data, the sectoral change in productivity has been the highest in the telecommunications sector since the reforms of 1991, growing by over 10 percent. On the other hand, no other sector has had a productivity growth of above five percent during the same period. It is no wonder that it has also been one of the fastest-growing sectors of the Indian economy, growing at over seven percent in the last decade itself.

Also Read: Social Media in India: Understanding The Dynamics of ‘Facebook’ and ‘Twitter’

Such an unprecedented pace of growth has been brought about the precise levels of change that Kurzweil was so enthusiastic about. Today’s smartphones have the power of computers that took an entire room in the 1990s, and the telecom sector has had to keep up with a provision of commensurate internet speeds and services. Meanwhile, India has managed to provide the cheapest telephony services around the world, which has hit rock bottom after the entry of Reliance Jio. This has ensured access to those even at the bottom of the pyramid.

A rise in internet penetration has distinct positive effects on economic growth of a country.
A rise in internet penetration has distinct positive effects on economic growth of a country. Wikimedia Commons

Even though consumers have come to be accustomed to fast-paced changes within the telecom sector, the entry of Jio altered the face of the industry like never before by changing the very basis of competition. Data became the focal point of competition for an industry that derived over 75 percent of its revenue from voice. It was quite obvious that there would be immediate economic effects due to it. Now that we’re nearing a year of Jio’s paid operations, during which time it has even become profitable, we saw it fit to quantify its socio-economic impact on the country. Three broad takeaways need to be highlighted.

Also Read: Quoting WhatsApp message renders ‘delete’ feature ineffective

First, the most evident effect has been the rise in affordability of calling and data services. Voice services have become practically costless while data prices have dropped from an average of Rs 152 per GB to lower than Rs 10 per GB. Such a drastic reduction in data prices has not only brought the internet within the reach of a larger proportion of the Indian population but has also allowed newer segments of society to use and experience it for the first time. Since the monthly saving of an average internet user came out to be Rs 142 per month (taking a conservative estimate that the consumer is still using 1 GB of data each month) and there are about 350 million mobile internet users in the country (Telecom Regulatory Authority of India data), the yearly financial savings for the entire country comes out to be Rs 60,000 crore.

To put things in perspective, this amount is more than four times the entire GDP of Bhutan. Therefore, mere savings by the consumer on data has been at astonishing proportions.

Today's smartphones have the power of computers that took an entire room in the 1990s, and the telecom sector has had to keep up with a provision of commensurate internet speeds and services. Wikimedia Commons
Today’s smartphones have the power of computers that took an entire room in the 1990s, and the telecom sector has had to keep up with a provision of commensurate internet speeds and services. Wikimedia Commons

Now, this data has been used for services that have brought to life a thriving app economy within the country. So, the second level of impact has been in the redressal of a variety of consumer needs — ranging from education, health and entertainment to banking. For instance, students in remote areas can now access online courseware and small businesses can access newer markets. Information asymmetry has been considerably reduced.

Third, a rise in internet penetration has distinct positive effects on economic growth of a country. These effects arise not merely from the creation of an internet economy, but also due to the synergy effects it generates. Information becomes more accessible and communication a lot easier. Businesses find it easier to operate and access consumers. Labour working in cities has to make less frequent trips home and becomes more productive as a result. Education and health services become available in inaccessible locations. Multiple avenues open up for knowledge and skill enhancement.

Also Read: Facebook to ‘Signal’ news gathering for journos

An econometric analysis for the Indian economy showed that the 15 percent increase in internet penetration due to Jio and the spill-over effects it creates will raise the per capita levels of the country’s GDP by 5.85 percent, provided all else remains constant.

Thus, India’s telecom sector will continue to drive the economy forward, at least in the short run, and hopefully catapult India into 20,000 years of progress within this century, as Kurzweil postulated. The best approach for the state would be to ensure the environment of unfettered competition within the industry. Maybe other sectors of the economy ought to take a leaf out of the telecom growth story. The Indian banking sector comes to mind. However, that is a topic for another day. (IANS)

(Amit Kapoor is Chair, Institute for Competitiveness, India. He can be contacted at Amit. Kapoor@competitiveness.in and tweets @kautiliya. Chirag Yadav, a senior researcher at the institute, has contributed to the article.)