The concerns over weak macroeconomic fundamentals have led to foreign investors pulling out dollars from India's stock markets. So far this month, India has seen a net outflow of $359 million led by a sell-off in stocks. Photograph: (AFP)
The federal government said it was not ready to extend the window period for depositing old currency notes
The federal government Monday filed an affidavit in the Supreme Court of India over the demonetisation row, saying it was not ready to extend the window period for depositing old currency notes.
Earlier on July 4, the top court rapped the federal government and asked them to give another chance to "genuine people to deposit old notes", to which the federal government was given two weeks to respond.
Rebuking the federal government for setting up a deadline for depositing demonetised currency, the top court observed, "One cannot make people suffer if they have genuine reasons, should be allowed to deposit old notes".
The top court asked the federal government and the Reserve Bank of India (RBI), whether a window can be provided to the people who could not deposit their old Rs. 500 and 1,000 currency notes.
The federal government told the division bench of the apex court that it would file an affidavit in the case.
The apex court was hearing a petition filed by advocate Sudha Mishra and others seeking a direction from it in connection with the deposit of old currency notes of Rs 500 and 1,000.
Following the announcement of demonetising currency notes worth Rs 500 and 1,000 in November last year, the government had instructed people to deposit their old currency notes with the RBI till December 30, 2016.