Union Budget 2017: Demonetisation created a new normal, will help economy in long run, says Jaitley
Jaitley said the government had replaced sluggish growth with high growth and launched a �massive war� against illegal cash holdings.
Defending the government's decision to demonetise Rs 500 and Rs 1000 notes, Finance Minister Arun Jaitley on Wednesday in his fourth budget presentation said that the decision created a new normal that will help the Indian economy in the long run.
"Demonetisation is a bold and decisive measure. It seeks to create a new normal where in the GDP would be bigger, cleaner and real," the Finance Minister said.
Jaitley said the government had replaced sluggish growth with high growth and launched a “massive war” against illegal cash holdings.
He said that effects of demonetisation are not expected to spill over to next year. The Finance Minister said that India was seen as an “engine of global growth” that witnessed “historic reform” in the last one year in the form of demonetisation and the goods and services tax.
“Our government was elected amid huge expectation, the underlying theme being good governance. We thank the people for their support,” Jaitley said.
He said that the levels of injecting cash into the economy would soon reach “comfortable” levels. “We are moving from informal to formal economy and the government is now seen as a trusted custodian of public money.”