Demonetisation may lead to temporary slowdown, warns Pranab

Extra care must be taken to alleviate sufferings of the poor triggered by economic slow down which has become unavoidable post demonetisation, President Pranab Mukherjee said.

Demonetisation, while immobilising black money and fighting corruption, may lead to "temporary slowdown" of the economy, the President said addressing the Governors and Lt Governors through video-conferencing from Rashtrapati Bhavan here.

"We all will have to be extra careful to alleviate the suffering of the poor which might become unavoidable for the expected progress in the long term," Mukherjee said.

He said that while he appreciates the thrust on transition from entitlement approach to an entrepreneurial one for poverty alleviation, he is not too sure that the "poor can wait that long".

"They need to get succour here and now so that they can also participate actively in the national march toward a future devoid of hunger, unemployment and exploitation," the President said.