Open Letter from a Christian leader to Prime Minister Modi asking him to restore a cash-based economy
Sajan K George writes to the head of the Indian government warning him about the dangers of withdrawing 500- and 1,000-rupee banknotes. The elimination of cash affects the whole economy, creating problems for the social system and agricultural production. Action should be taken before Christmas.
Mumbai (AsiaNews) – Sajan K George, president of the Global Council of Indian Christians (GCIC), has issued an appeal to Prime Minister Narendra Modi. In it, he calls for action in favour of rural businesses surviving on their own sales, especially ahead of Christmas. He also calls on the prime minister to trust economists and social scientists loyal to India and its people as well as distance himself from the “economic hawks” in his party that prevent him from grasping the truth of India’s reality. He also calls for a return to a cash-based economy. The Christian leader also speaks about the serious repercussions on the poor peasantry of the withdrawal of 500- and 1,000-rupee banknotes from circulation. Here is his open letter.
India as a nation withstood the best and worst of history. It was trampled upon by dictatorship: a million cuts were delivered to its militancy and terrorism. It struggled under stifling bureaucracy. The mind of India often divided in the name of caste and religion by leaders whose vision did not extend beyond the next election.
When Anna Hazare launched his anti-corruption fast and lokpal bill, good men like Pandit RamDev and Sri Ravishanakar joined Hazare in this campaign and the people of India and the sense of India was with them.
Many of us vehemently supported a regime change and the people of India placed their faith in you, Srhi Modiji. Your relentless energy and determination to fly India’s flag high in foreign countries was admired by even your worst critics. Under your administration attacks on minorities have been reduced compared to previous NDA government. People like M. J. Akbar, Udit Raj and Ramadas Atalwalle, champions of minority and Dalits have joined you. Some 1.2billion plus Indians want you to be successful in charting our nation to greater heights with inclusive growth for all.
Since the initial announcement on 8 November, demonetisation has come to be seen as a step towards India's transformation into a cashless economy. But, according to the government's own estimate, 40 percent of Indians don't use formal banking services. Some commentators perceive demonetisation to be an alarming step by the government in its push towards disbursing state subsidies and welfare via cash transfers into bank accounts.
I would like to share with you the glaring situation in orphanages and destitute homes from Kashmir's Leh to Kanyakumari, which are running only on the goodwill of good Samaritans. The poor are starving and India does not have a social security net to provide these unfortunate souls their basic needs. Severe winter is going to affect thousands of people.
SEWA works among two million women entrepreneurs and their agricultural and other products and many poor men and women, whose products find a good market during Christmas and New year, are facing uncertain future and starvation.
Wages, business, agriculture, everything has been affected. Not exactly a standstill but, if you were doing business, you're now earning 30 percent of what you were earning before demonetisation.
There is a disruption in the lives of women (in rural areas and in the unorganised economy) who don't tend to save much in banks or in assets—it's in cash. They save small amounts and then add it up. The amount of money that has come out of people's homes—twenty thousand, thirty thousand, five thousand—these are the poorest women. They save that for a rainy day. There are a lot of savings pouring out from the cash economy. Our bank and all our cooperatives—every bank in this country—is now flush with funds. The country is basically a cash economy—most of that economy is not black, in that it is not evading taxes. When you go to the rural areas, people will save in cash, pay in cash—all agriculture is in cash. Every woman is coming in with notes constituting an amount of Rs 10, 000–20,000. It's all their hard-earned money deposited in the bank but they do not have enough to continue their small businesses.
They need your help to resume their small businesses. We are not questioning your sincerity but people are afraid of the ones who claim to be your close (party) associates. How can we trust the Godmen who claimed to protect the soul of India when they are behaving like ones who see India as marketplace to sell their commodities? The alleged 500 Crore marriage of one of your party MLA and 55 more spent by one of your cabinet colleagues is not resonating well with the people of India. We want to see you to be a successful prime minister. If you succeed, 1.2 billion people succeed, and we want you to succeed for the good of our nation.
Please guard against people in your close quarters. It looks like they are insulating you from knowing the truth about ill effects of demonetisation s the year comes to an end. A New Year of prosperity is unthinkable unless you reignite rural and other small businesses to stand on their own feet once again with adequate funds. The organization from Pune supposed to have encouraged you note demonetisation has already distanced from demonetisation drive.
Please take into confidence economists and social scientist like Amrtya Sen, Meera Sandal, Reghuram Rajan, ManMohan singh, arun Kumar, Kaushik Basu, Prabhat Patnaik, jean Dreze, etc. to reach your goal for Indians. We are sure that they love India and its people and we want you to succeed.
Before we wish you a Happy Christmas and peaceful New Year, we urge you to liberally consider small businesses and individuals who make their living by selling products during the season of Christmas and New Year.
God Bless India
(Nirmala Carvalho contributed to this article)
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