Leader of the Opposition Ramesh Chennithala has urged Prime Minister Narendra Modi to restore the functioning of the cooperative sector in Kerala which had slipped into a crisis following the demonetisation of high-value currency notes.
In a letter to Mr. Modi, he said demonetisation had impacted the Kerala economy, crippling the trade and retail business and threatening a dip in tax revenue. The crisis, he said, had also affected the livelihood of small traders, labourers, and fishers.
Mr. Chennithala said the cooperative sector in Kerala was the hardest hit. “The ripple effect of the cash crunch is being felt by the rural economy and farmers and weaker sections are reeling under the impact. The survival of the cooperative sector is at stake. Any loss of credibility suffered by the cooperative movement is bound to imperil the State’s economy.”
The letter pointed out that the special session of the Kerala Assembly had adopted a resolution seeking the Centre’s intervention to resolve the crisis facing the cooperative sector.
A press note quoting Mr. Chennithala said the letter was in response to the denial of permission for an all-party delegation from the State to convey the concerns to the Prime Minister.
