Hyderabad: Andhra Pradesh Chief Minister N. Chandrababu Naidu has criticised that demonetisation was a major disruptive action of the Centre which was implemented without due deliberation. He said that although they support the ideology of the policy, adequate care was not taken in rolling out and managing its implementation.
He said that it has led to erosion of credibility of the Central bank and public faith in banking institutions. Mr Naidu said that till date, people are being put to hardship for accessing their own funds. This, in turn, had adverse impact on small business and workers.
He said that further, certain misquoted and ill-drafted provisions of the FRDI Bill have led to widespread concern that the government can, under exceptional conditions, convert deposits of individual investors into equity. This has fuelled adverse response from the public who have resorted to keep their funds in lockers and safe deposits rather than bank accounts.
As a result, there is a severe cash crunch in the country, with no cash available in ATMs or banks for farming operations, to disburse pensions or for other daily needs.
Regarding GST, Mr Naidu said the implementation of Goods and Services Tax (GST) has resulted in concentration of tax collection apparatus in the country in juxtaposition to the strengt-hening of federalism.
He said that it is unfortunate to note that such a big tax reform was introduced without adequate preparations. “Neither the tax officials nor the traders were prepared to implement the GST from July 1, 2017. GSTN, the IT platform through which the tax payers (business) interact with the government, is full of bugs and is not user friendly resulting in spending lot of time to file returns and pay taxes. Delay in the payments of the eligible refunds in GST is adversely affecting industries,” Naidu opined.
