Biz-Econ

Cash-based economy hurts poor: Jaitely

A cash-based economy harms the poor and props up corruption as cash leads to corruption and tax evasion, said visiting Indian Finance and Corporate Affairs Minister Arun Jaitely.

"Excessive cash operates against the poor," he said, mentioning that it allows people to live in anonymity and stay outside the tax net , BSS reported.

He said this while speaking at a lecture on "Macro Economic Initiative of the Government of India: Financial Inclusion Demonetization and Cashless Economy" at a city hotel here today.

"If the economy depends mostly on cash, the curse of cash hits you . . . a lot of terror activity thrives on cash" Jaitley observed.

The Indian finance minister encouraged the rest of the world to follow in India's footsteps.