NEW DELHI: Union Minister Piyush Goyal on Wednesday said there was no need for an ordinance on demonetisation, and added that the Prime Minister is fully authorised to take such steps.
Participating in a debate on the demonetisation of high-denomination currency notes in the Rajya Sabha, the Union Minister for Power, Coal, New and Renewable Energy said: "Prime Minister has complete authority to take such step. There is no need for ordinance."
The Reserve Bank of India (RBI) runs the monetary policy of the nation and this decision was taken by the RBI board, Goyal underlined.
Explaining the rationale behind the demonetisation move, he said that "86 per cent of the total currency is in Rs 500 and Rs 1,000 notes. The RBI found out that 50 per cent of the currency has not come back in the currency chest for years and is not being used in the economy. So, huge amount of money is hidden somewhere."
Goyal was responding to a statement of Congress leader Anand Sharma.
"This is a stern warning to the corrupt that the government is keeping an eye on your money," he added.