Hyderabad

Study Demonetization implications: CS tells officials

Study Demonetization implications: CS tells officials

Chief Secretary Dr Rajiv Sharma today directed the officials to study the impact and financial implications on departments due to demonetization of currency notes of Rs 500 and Rs 1000 by the Centre.

The Chief Secretary held a high-level review meeting at Secretariat with heads of various departments that will face the impact by the scrapping of old currency notes. Those who attended the meeting, include special chief secretaries Pradip Chandra, S P Singh, MG Gopal, Ranjiv Acharya, SK Joshi, Ajay Mishra, CMO principal secretary Narsing Rao, Finance Secretary Ramakrishna Rao, Roads & Buildings secretary Sunil Sharma, Finance Secretary Navin Mittal, Intelligence IG Navin Chand and others.

Rajiv Sharma, while discussing the prevailing situation of financial transactions in the State, has asked the officials to submit a report after a deep study. The meeting assumes significance as Chief Minister K Chandrasekhar Rao has reportedly expressed dismay at the demonetization for a drastic cut in revenues from various departments to the State coffers. As the government was reportedly suffering a loss of Rs 6,000-crore revenue through the scrapping of the old notes, the Chief Minister asked the officials to study the impact.

The CS asked them to monitor the financial implications on everyday by conducting meeting with related institutions and persons for complete information. It is necessary to study the long-term implications caused by the Centre’s decision to scrap the old notes and prepare a plan of action to tackle it, he said. The CS also discussed on details of revenues got in last seven months and effect of demonetization in November and long-term implications.

Rajiv Sharma also touched upon the devolution of Central funds, grants, revenues in the coming three months. Registrations of assets, value added tax, excise income, transport tax, non-tax revenue and monthly expenditure are the issues discussed during the meeting. Based on the facts of revenues and demonetization effect, the officials should prepare a plan of action, the CS told his subordinates. (NSS)