People’s hardships for one or two quarters: Jaitley on cash crunch | india-news | Hindustan Times
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People’s hardships for one or two quarters: Jaitley on cash crunch

india Updated: Dec 01, 2016 18:12 IST
Indo Asian News Service
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Union finance minister Arun Jaitley with Odisha chief minister Naveen Patnaik at the Make in Odisha conclave in Bhubaneswar on Thursday.(PTI photo)

Finance minister Arun Jaitley on Thursday said the hardships being faced by the people after the demonetisation announcement will remain only for one or two quarters but its effect on the economy will be seen in the long term.

On the sidelines of the Make in Odisha conclave, he said, “I believe both decisions will prove a game changer. GST will ensure higher taxation as far as the Centre is concerned, state is concerned... It’s a more efficient system. It plugs leakages and it will certainly help a state like Odisha.”

Jaitley thanked Odisha chief minister Naveen Patnaik for backing demonetisation and the Goods and Services Tax (GST).

“The money coming to the banks will be used more fruitfully for the benefit of the economy and together, these two things have the potential to exaggerate what the Centre and the state are doing.”

Hailing the high growth rate of Odisha this year, Jaitley said, “If Odisha’s GDP grows faster than the national GDP, it will help improve the GDP of the country.”

He said the Odisha government will have complete support of the central government for its Make in Odisha campaign.

“Odisha, a state which conventionally had a very high percentage of people below the poverty line, is now trying to improve upon its growth rate. And its growth rate in recent times has significantly improved. The poverty level has come down,” he said.

Odisha registered a GDP of 9.2%, two percent higher than the national GDP.