The central government has filed an affidavit on demonetisation in the Supreme Court on Wednesday, in which it has been said that the number of 500 and 1000 notes had increased a lot. Therefore, after discussions with the RBI from February to November, the decision was taken to stop these notes on November 8. The next hearing of the case will be held on November 24.
The government defended its decision to demonetise, saying that the decision to demonetise was taken on the special recommendation of the Central Board of Directors of the Reserve Bank. Demonetisation was part of the planning and effective way to deal with problems like fake currency, terror funding, black money and tax evasion. It was the biggest step in a series of changes in economic policies.