DEMONETISATION

DEMONETISATION

8^th nov 2016, I think no need to describe what happened on this day because historical decision which had been taken on that day effect’s almost each and every citizen of the country.

So it has no mean to analyze orally the benefits, merit & demerits. Here in this article facts are discussed with you on the basis of statistical data.

·      Black money:-  DEMONETISATION  to stop black money, said by prime minister on 8^th November.

FACTS:-

ü 12% of GDP case available before 8^th nov.

ü The 86% of total cash in 500 & 1000 rs notes which 15.44 lacks carore .

ü Up to 13^th dec deposits comes into the bank are 12.44 lacks carore.(RBI DECLARE D)

ü Only the 6% black income in cash rest of it in lands or gold.

Analysis:- when  RBI says 12.44 lack carore are already deposited in banks up to  13 dec that is 4/5^th part of total available cash amount of 15.44 lack. While the last date to deposits is 31^st dec so it is sure that till this date total 15.44 lacks could be deposited in banks.

Actually the available cash in GDP before 8^th nov (15.44 lack carore) is total of black and white money and according to the scheme only white money deposited and black should be wasted or comes into” PRADHAN MANTRI GARIB KALYAN YOJNA but as the previous RBI figure shows it is clear total amount 15.44 will be deposited and no black money goes waste.

Yes of course there is a important thing which you have to note that due to DEMONETISATION the black money comes into the banking system from underground rooms and KHUFIYA TIJORIES.

Result:- it is clear that total 15.44 lacks carore deposited into the banks so it is too difficult to choose which deposit is black money. Also we have to look what figure RBI release about deposits because if it is more that 15.44 lack carore THAT MEANS FAKE CURRECNCY ALSO DEPOSITED IN BANKS.

·      CORRUPTION :- 

Corruption stopped by DEMONETISATION (as announced by government).

FACTS:-

ü in the period of 50 days number of bank officials including RBIs are arrested in corruption charges.

ü In these days black money makers use the JAN DHAN ACCOUNT HOLDERS Accounts for money exchanges by given them some percentage of amounts. This involves a comman man into corrupt practice.

ü In these days cash crisis in country where as IT & ED cease big amount in new currency, shows corruption in banks.

             Analysis:- It is very commonly in listen these days 70/30 CHLEGA.

I don’t think by changing notes govt. can stopped corruption although now more easier to take big amount in 2000 Rs notes. It just changes the demand of HARI PATI TO GULABI PATI.

Actually it is demerit of policy so before some days govt started a new thing CASHLESS and after that LESSCASH.  NO doubt if it will be success gives more better impact on corruption then DEMONETISATION but what the infrastructure available for cashless or how its work in India where internet availability, smart phones, CIBER security etc number of issues are there . Yet it’s not right to commenting on cashless because it is still an undergoing process.

Result:- DEMONETISATION has no effect on corruption practices but the idea of cashless comes from it is able to give drastic  change in future.

Terror activities: - As announced by prime minister. Decrease in terror activities due to DEMONETISATION

FACTS:-

ü Fake currency is the major source of terror funding.

ü Approx 1400 carore Rs are circulated in Indian economy before 8^th November.

Analysis: - No doubt terror activities decrease but you see the percentage of fake currency is just 0.1% of total currency, is it justify that you change whole currency to stop this 0.1%.

Another question which comes in mind that what is the surety of fake currency will not build in future because if it happens so the decrease in terror activities is just a temporary effect.

RESULT:-

In my view terror is terror either is it of 1400 carore Rs or 1 Rs. more important is to see that it is temporary or permanent. If new fake currency generated in further so it is temporary.

Other:-

ü All the international rating agencies  decreases the rating of India’s growth rate expectations.(from 7.6 to 6.99 or 7.1)

ü Approx 15 lacks jobs in distributed sector had gone.

ü Questions arise about the ATONOMY of RBI (because 64 times RBI change rules show that it works under govt. pressure)  

ü PAC (public account community) of parliament called RBI governor for asking questions on DEMONETISATION.

ü At last but not least;

 IS IT A POLITICAL DECESION?????

Kalpit harit