Demonetisation and after
In the near term, the note ban has thrown life out of gear and disrupted the Indian economy. The jury is still out on what the long-term impacts are
Prime Minister Narendra Modi’s bold move to invalidate 86% of currency (by value) in circulation has been widely debated. Some call it politically astute but economically unwise. In the near term, it has thrown life out of gear and disrupted the economy. The jury is still out on what the long-term consequences are. There is a lot of uncertainty on the second-round economic impact and how long it will last, but one thing is certain: India is on an irrevocable path to a less-cash society.