(a)whether the prices of essential commodities are soaring because of
excess circulation of money;
(b)if so, the details thereof;
(c)whether counterfeit currency is also circulating in the country;
(d)if so, the details thereof; and
(e)the steps being taken by the Government to check the circulation of
counterfeit currency?
MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI NAMO NARAIN MEENA)
(a) and (b) : According to Reserve Bank of India (RBI), the essential
commodities inflation with weight of 14.4 per cent in Wholesale Price
Index (WPI), moderated and was placed at 4.1 per cent in January, 2011.
High inflation of essential commodities during 2009 and first half of
2010 was mainly due to supply side factors, particularly, high food
prices, both primary as well as manufactured food products such as
sugar.
(c), (d) and (e): The problem of smuggling and circulation of
counterfeit Indian currency notes has gained significance over the past
few years. As per the information furnished by National Crime Record
Bureau (NCRB), the value of counterfeit currency (seized and recovered)
during the last three years is as follows:
(in Rs.)
Denomination 2008 2009 2010
1000 5,97,46,000 5,30,01,000 7,22,16,000
500 17,52,44,000 15,38,01,500 17,18,64,000
100 2,22,64,000 2,16,43,600 1,33,80,800
50 16,11,000 15,91,650 7,92,750
Others 14,722 59,617 19,339
Total 25,88,79,722 23,00,97,367 25,82,72,889