- Centre says with old notes piling up in banks, loans will get cheaper
- Supreme Court had warned centre to minimise hardship for people
- Bank lines are much shorter now, reassures centre
Listing benefits of the reform, the government told judges today that as old notes are deposited, "the real advantage is banks will have more money and interest rates for loans will come down." 88 billion dollars of old notes have been deposited so far, Attorney General Mukul Rohatgi disclosed.
Last week, the Supreme Court had warned the government that riots could result from the extreme cash crunch that the country plunged into after 86 per cent of the notes in circulation were suddenly withdrawn on November 8.
Apart from the top court, petitions have been filed in courts including in Chennai and Kolkata asking for the demonetisation to be declared illegal, which judges have said they will not do because that would amount to interfering with a major government decision.
The centre said that there is no shortage of the new 500 and 2,000-rupee notes and that it is transport problems that are causing some delays in the delivery of new bills to banks.
The judges today said that for now, they will not stop other courts from hearing appeals against the reform, but will, on December 2, consider the government's request to club together all the petitions and hear them in Delhi.
Get Breaking news, live coverage, and Latest News from India and around the world on NDTV.com. Catch all the Live TV action on NDTV 24x7 and NDTV India. Like us on Facebook or follow us on Twitter and Instagram for latest news and live news updates.