Indian demonetisation could lead to famine



The demonetisation of Rs. 500 and Rs. 1000 notes that was announced by Prime Minister Narendra Modi on November 8, 2016 could lead to famine in West Bengal as well as many other states, claimed West Bengal chief minister Mamata Banerjee.
Speaking to reporters after her quarterly review of the state’s performance with ministers and departmental secretaries Mamata said that this ill-thought-out decision could lead to famine and severe problems for the informal sector that employs over 60 per cent of the working population.
“The decision to demonetise the currency has led to severe hardship among the poor and the marginalised. In many areas, labour is not available to harvest the grains from the field. In other parts of the state, farmers are not able to earn money from cultivation of vegetables as demand has slowed down and people are cutting consumption,” the chief minister said, reports Gulf News.
Mamata also harped on the effects of the currency ban on small traders, especially those who serve the marginal sections of society. “Tea sellers who used to earn Rs500 a day are now unable to find customers due to shortage of currency. This Rs2,000-note has created more confusion and hardships for the people.