Following the demonetisation move by the government, several questions popped up surrounding the credibility of the Reserve Bank of India which will finally be put to bed by its governor, Urjit Patel, who will appear before the Parliament’s Standing Committee on Finance on Wednesday.
A volley of questions will be thrown at Patel by the opposition parties regarding the move.
The questions will range from whether the decision of government has violated human rights to the number of new notes printed after the implementation of the scheme and liquidity in the economy.
Also, Patel would be asked to explain whether the issue has hit the autonomy of the highest financial institution of the country and on the practicality of the move.
The RBI Governor will have to explain the move’s impact on industrial production, agriculture, and employment.
According to a member of the panel, most of the members are unconvinced with the documents submitted by both RBI and Finance Ministry as the papers have failed to explain the rationale for demonetisation.
“The documents received by the panel are not satisfactory. They have failed to justify preparedness of banks prior to rolling out the scheme across the country and also hurriedness over its implementation,” an opposition party member, told Millennium Post.
The panel which is headed by M Veerappa Moily, has many parliamentarians representing different parties of the opposition, including TMC MPs Saugata Roy and Dinesh Trivedi, Biju Janata Dal MP Bhartruhari Mahtab, AIADMK’s TG Venkatesh Babu, Congress’s Jyotiraditya Scindia, and more. The panel is also comprised of ruling party members who would back Patel from the onslaught of opposition members.