Government plans two-day blitz to highlight demonetisation gains

NEW DELHI: PM Narendra Modi will deliver an address to the nation on Saturday which will list out measures like widening of the tax base and creation of a cleaner economy which will inhibit generation of black money, besides promising relief to common people, farmers and small traders. He is also likely to spell out a post-demonetisation roadmap as the 50-day deadline for depositing scrapped Rs 500 and Rs 1,000 notes ends on Friday.

The address, to be broadcast live, is expected to reassure the nation that the demonetisation decision is working and will be preceded by a town hall meeting at Talkatora Stadium in Delhi on Friday evening. There is a possibility that some announcements might be made to coincide with the deadline to deposit old currency ending.

At Friday's event, organised by the IT ministry, the PM is likely to announce the winners of Lucky Grahak Yojana, the scheme launched by the government to incentivise digital payments to make a India cashless economy. The PM may also declare Tihar Jail as adigitally-enabled institution.

BJP sources said the PM's announcements could focus on measures to continue the crackdown on black money to ensure the "gains" of demonetisation are not lost with the reemergence of illegal funds.

"The PM is likely to focus on the need to curb the currency-driven 'parallel economy'," said a senior BJP functionary.

He said the PM could emphasise on continuity of the reform process and the party expects him to reassure sections of the poor who are affected by reduced cash supply.

"He can be expected to keep in mind the interest of honest tax-payers but containing cash flows and promoting digital payments are important themes," said the source. Though the cap of Rs 2,500 on ATM withdrawals and Rs 24,000 per week through bank counters might be relaxed soon, sources said the PM will reiterate that the dishonest will not escape surveillance.

Modi has been countering the opposition charge that demonetisation has failed to root out black money or that BJP members were tipped off almost on a daily basis. The opposition parties have launched a massive campaign against the government alleging that the move has pushed the country's economy 20 years back.

BJP's confidence levels seem to be rising as leaders say demonetisation will be a poll issue in five states early next year. While Modi will address the nation, the ruling party fielded a galaxy of ministers including Venkaiah Naidu, Ravishankar Prasad and Piyush Goyal, who came out with facts and figures to counter the opposition's allegations.

Sources said PM's address to the nation will not only be an attempt to spell out the roadmap post-demonetisation but also to pre-empt the opposition bid to intensify campaign against the "economic reforms".