Although the move of demonetizations appeared to be taken in haste, Prime Minister Narendra Modi had sensibly selected a reliable bureaucrat for launching his radical policy to abolish 86 percent of the cash from India’s economy overnight.
As per an international news agency, Hasmukh Adhia, the bureaucrat – not much famous outside the financial circle – was among the five others who were sworn to extreme secrecy. The report suggests that these selected men were supported by a team of researchers who worked in two rooms at the PM’s residence.
PM Modi has taken complete responsibility for the demonetization move, the reports further suggest. “I have done all the research and, if it fails, then I am to blame,” PM Modi said in a Cabinet meeting held on 8 November, just before the declaration was made.
Adhia, a top finance ministry official was overseeing the operation with support from the backroom team working from PM Modi’s residence in Delhi.
About Hasmukh Adhia:
Adhia was the principal secretary to Narendra Modi from 2003-06 when he was chief minister of Gujarat. He soon establishes a relationship of trust with his boss and introducing him to yoga, says the report. Soon after PM Modi’s 8 November address, Adhia tweeted: “This is the biggest and the boldest step by the Government for containing black money.
Role of the banks:
In April this year, State Bank of India said that demonetisation of large-denomination notes was possible. Reserve Bank of India in May had said that it was making arrangements for a new series of banknotes. The same was confirmed in August with central bank announcing that it had approved a design for a fresh 2,000 rupee note.
Early announcement:
The report also states that initially the demonetisation move was supposed to be introduced around 18 November. However, after “a clear sign that it could get leaked,” the move was announced on 8 November.
