Demonetisation was inevitable, will help fight black money: Gurumurthy to CNN-News18

Defending Prime Minister Narendra Modi's demonetisation scheme, RSS ideologue and journalist S Gurumurthy claimed that the move was ineveitable. The veteran journalist spoke to CNN-News 18's Bhupendra Chaubey and discussed demonetisation and Tamil Nadu politics post Jayalalithaa's untimely death.

Not politicising demonetisation, he told Chaubey that he looks at it as an economic exercise, irrespective of what Modi, former prime minister Manmohan Singh or eminent economist Amartya Sen have said about it.

Comparing demonetisation to the Pokhran tests, he said, "That is why post-Pokhran, India made a paradigm shift, likewise this 'financial Pokhran' is a paradigm shift but it requires a very different mind to understand, articulate this and make people understand."

 Demonetisation was inevitable, will help fight black money: Gurumurthy to CNN-News18

S Gurumurthy. Image courtesy:

Gurumurthy believed that the decision to demonetise Rs 500 and Rs 1,000 currency notes had to be taken sooner than later, blaming the Congress-led UPA for forcing the government to take such a monumental decision. He believed had the decision been taken later, the economy would have just collapsed. Calling the quality of economic growth between 2004 and 2014 a disaster, he said that the growth under the UPA regime was purely finance-backed where asset inflation was never taken into consideration.

Gurumurthy, who is also the co-convenor of the Swadeshi Jagran Manch, opined that the disastrous economic growth model could not improve money supply between 1999 and 2014 and is also the root cause for the lack of growth in the job market.

When asked about the real motive behind demonetisation, Gurumurthy said it would be the first big step to weed out black money, helping record the unrecorded roaming cash in the economy. He added that demonetisation is a sign that the nation's economy is rebooting.

Claiming that the common man is firmly backing Modi's decision, he said India lacked a decision-making leader since 2004.

Gurumurthy believed that demonetisation will give the necessary impetus to organise the unorganised sector, as India moves towards a 'less cash' society.

Meanwhile, the newly appointed Tughlak editor, raised questions over the death of former Chief Minister J Jayalalithaa, calling for an enquiry, alleging lapse in medical discipline. He also added that Sasikala might not be able to rise as a leader since party workers blame her for all the wrong that happened to the late AIADMK supremo.

However, he was optimistic on the prospects of AIADMK, adding that the party will survive on account of the anti-DMK votebank in the state.

With inputs from PTI

Updated Date: Dec 12, 2016 20:35:32 IST