Union Home Minister Rajnath Singh on Friday said that the Centre's move to the scrap Rs. 500 and Rs. 1000 notes was a well planned move and it is being appreciated by economists globally.
"Every economist is supporting our decision. Not only Indians, but economists from other countries are also supporting it. I think due to this step, the difference between the rich and the poor will be reduced," said Singh while speaking at a program in Lucknow University.
Singh also assured complete implemention of the Goods and Services Tax (GST) by April 1, 2017 and said that its implementation will bring transparency in the taxation system.
"Economists believe that by complete implementation of GST. The result increase GDP from 1.30 % to 1.45 %," he added.
Earlier, the International Monetary Fund (IMF) supported Prime Minister Modi's efforts to fight corruption by demonetizing the Rs. 500 and Rs. 1000 rupees notes, but cautioned that the move has to be managed prudently.
IMF spokesman Gerry Rice told reporters in Washington that the global body supports the Modi government's measures to fight corruption and illicit financial flows into India.
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He, however, said that the move has to be managed prudently to minimize possible disruptions keeping in mind the large role of cash in everyday transactions in the Indian economy.
Meanwhile, with the ATMs opening today nearly 48 hours post Prime Minister Modi's radical announcement about scrapping of the 500 and 1000 rupees notes, long queues made by anxious citizens were seen across the nation with the new currency notes available for withdrawal.
The withdrawal limit is of 2,000 rupees per day per card for all the customers at bank ATMs.