The Centre today said, the demonetisation has hit the terror funding and reduced the numbers of stone pelters in Kashmir valley. <br/><br/>Replying to a debate on the Supplementary Demands for Grants for 2017-18 in the Lok Sabha, Finance Minister Arun Jaitley said, the demonetisation has also impacted the naxal activities in left wing extremism affected areas. Later the House passed the appropriation bills, 2017.<br/><br/> He said, the government has initiated action against those stashing black money abroad. He said, to check round tripping of money within the country, India has signed tax treaties with several countries including Switzerland to get information about financial transaction. <br/><br/>On members' queries about quantum of money deposited in banks post demonetisation, Mr Jaitley said, as soon as RBI completes counting process, figure will be put in public domain. He said, the last tranche of deposited currencies has just reached RBI in July. <br/><br/>The Finance Minister also rejected the opposition charges that country's growth rate was affected by demonetisation adding that it posted 7.1 per cent growth rate which is the highest among the big economies. He said, Narendra Modi led government has maintained the fiscal discipline of the country and brought the fiscal deficit to 3.2 per cent this year which was 4.6 per cent in 2014. Mr Jailtey said, the target is to bring it down 3 per cent further. <br/><br/>He also said, the current account deficit has also come down to 1.25 per cent. He said, the Consumer Price Index has touched the lowest level in the last ten years which was in double digit during UPA regime.<br/><br/>The Finance Minister said, the new indirect tax regime which has been introduced form 1st of July will help expand the tax base. He said, more and more traders will come under the tax net as evading tax will become difficult under the new regime. <br/><br/>He said, switch over to GST has been very smooth and States will have more funds in their kitty to undertake development works. He said, there may be some technical glitches which can be rectified.<br/><br/>Mr Jaitley also clarified that Ordnance Factories will not be privatised and the employees will not be retrenched. However, the factories will be restricted to only production ammunition and defence equipments. <br/><br/>On privatisation of Air India, Mr Jaitley said, the government wants to make the aviation sector in the country a success story. He said, the public carrier will be run as a business organisation. <br/><br/>Later the House approved the Supplementary Demands for Grants for 2017-18.<br/>Under it, the government has proposed additional expenditure of about 11 thousand and one hundred sixty six crore rupees. <br/><br/>Out of total expenditure, as much as 7 thousand crore rupees will go to the Ministry of Petroleum and Natural Gas towards additional grants-in-aid for payment of differential royalty to State governments. <br/><br/>Besides, the Centre also proposes to spend 1,800 crore rupees towards budgetary support to the units in the States of Jammu and Kashmir, Uttarakhand, Himachal Pradesh and North-Eastern States including Sikkim under Goods and Services Tax (GST) regime. <br/><br/>The other cash spends include 500 crore rupees for providing grants-in-aid for procurement of pulses under the price stabilisation fund scheme, 250 crore rupees for publicity on GST awareness and 50 crore rupees for promotion of digital payment through BHIM.<br/><br/>Initiating the discussion on it, K C Venugopal of Congress alleged that the government's decision of demonetisation has failed to bring desired results. He said, post demonetisation, the country which was growing at the rate of 7.1 per cent has slowed down to 6.1 per cent in the fourth quarter of last fiscal. <br/><br/>He also said, the government should come out with exact figure of money deposited in banks after 8th of November last year as well as the quantum of black money detected. He also said, the introduction of GST has affected the people. Nishikant Dubey of BJP countered the Congress' allegation saying that 72 thousand crore rupees black money have been unearthed post demonetisation and the cases of stone pelting in Jammu and Kashmir and naxal activities in States have come down. <br/><br/>He said, the NDA government is committed to the welfare of poor and farmers. Sudip Bandyopadhyay of TMC said, eastern states have suffered a lot due to regional imbalances and the Centre should look into it. Bhatruhari Mahtab of BJD stressed on the need taking adequate measures to check cyber crimes and enhancing cyber security.