Note ban delays military projects

According The Hindu: Demonetisation has had an adverse effect on defence infrastructure projects, say field reports from the military commands. Various engineering agencies — the Border Roads Organisation, the Military Engineer Services and the Corps of Engineers — are involved in executing several dozen important military projects across the country mostly using private contractors. The projects are crucial for military capabilities, especially those closer to the borders. The contractors employ daily wage labourers, mainly migrants from the hinterland. “As of now, we have only field reports. By early April, the figures would be in and we would know how badly it has impacted the infrastructure projects,” a senior officer said. From runways and roads to office complexes and accommodations, all the projects have dramatically slowed down since the November 8 announcement, multiple sources have told The Hindu. “We are now slowly picking up the pace. It is hoped that by April, things should be normal,” a senior official said.“Because of demonetisation, work progress has been hit and delays of four to six months have accrued. But most of it cannot be made up,” Major General S. Kaushik, former Director-General, Works, said.
Thousands of migrant labourers, especially from Bihar, Uttar Pradesh, West Bengal, Odisha are the undocumented workforce that helps the military execute much of the infrastructure projects. As note ban sucked out currency from the system, military contractors began to fault in daily wage payments of these labourers.