Following the Prime Minister Narendra Modi’s announcement to ban the existing high currency notes of Rs 500 and Rs 1000 in order to check the black money, corruption and the illegal flow of fake currency notes, the people of the country are rushing to the banks to exchange the old currency notes.
The Telangana government will reportedly lose Rs 2,000 crore every month because ban on Rs 500 and Rs 1,000 currency notes.
Chief Minister K Chandrashekar Rao held a review meeting with officials over loss to exchequer with properties and vehicles registrations falling drastically in the last two days.
Later, KCR met Governor Narasimhan and submitted a report.
He apprised the Governor as to how Telangana government losing money with sudden decision to demonetise currency notes.
The CM urged the Governor to impress upon the Centre for compensating loss to state.