Defence Minister Manohar Parrikar claimed that stone pelting in the Kashmir valley had stopped as a result of the discontinuation of old Rs 500 and Rs 1000 notes.
Speaking on Monday at a party event in the national capital, Parrikar said, "In the last few days after PM's daring move there hasn't been stone pelting on security forces. I congratulate PM for it."
"Earlier, there were rates: Rs 500 for stone pelting (on security forces in Kashmir) and Rs 1,000 for doing something else. PM has brought terror funding to zero,” the Defence Minister said.
Parrikar’s views were echoed by BJP’s Jammu and Kashmir chief spokesperson Sunil Sethi.
The Times of India quoted Sethi saying, "The well-timed and extremely well-executed move on blocking currency of high denominations by the Union government has put a nail in the coffin of separatism and militancy in the state."
On November 11, Hindustan Times quoted sources within the Ministry of Home Affairs saying that the demonetisation move resulted in significant decline in violence in the valley orchestrated by separatists.
“The J&K police has reported to New Delhi that separatists are flummoxed by the move as a result of which the four-month long agitation may be on the backburner. The separatist leaders rely on hawala channels through Bangladesh, Nepal and Dubai for funding the agitation. It is these sources that have dried up,” a home ministry official told HT on the condition of anonymity.