Hyderabad: The TS government is expecting a bounty from the Centre after the window to deposit demonetised currency notes in banks expires on December 30.
Chief Minister K. Chandrasekhar Rao, who has been reviewing the impact of demonetisation on the state’s revenue every day with ministers and senior officials, is learnt to be informing them that he has clear indications from the Centre that it would distribute the cash accrued to it through demonetisation among all states in the ratio of at least 42 per cent. It is for this reason that the CM has been staying away from agitation programmes being taken up by some Opposition parties over demonetisation.
The CM believes that the Centre would get around Rs 10 lakh-crore in deposits since nearly Rs 4 lakh-crore deposits have been made in the past 10 days. Besides, he believes that another Rs 5 lakh-crore in black money will not be deposited with banks fearing penalties and cases.
Mr Rao is learnt to have hinted in meetings with ministers and officials that he has information from well-placed sources that the Centre will ask the RBI to print new currency notes for the amount not deposited with banks and transfer the same to the account of the Central government.
Mr Rao is confident that the Centre would disburse the amount accrued through demonetisation among the states to compensate for the revenue losses suffered by them after December 31.
“The CM is of the view that the PM will hold a meeting with CMs of all the states after the winter session of Parliament and discuss the implications of demonetisation on states’ revenues. KCR believes that the PM will assure all CMs that the Centre will pay adequate compensation to bail out the states from financial crisis,” sources said.
However, doubts are being raised in some quarters over the claims being made by the CM since economic experts like former RBI governor Duvvuri Subbarao are opposing any move by Centre to treat currency that is not surrendered during demonetisation as profit and transfer to Centre. “If this is done, demonetisation will be viewed as being done with other motives, rather than fighting black money,” Mr Subbarao opined.
