Demonetisation in India- A Failure

It's now official that Demonetisation is a failure as 99% of banned notes were returned. Demonetisation was is thought to be a big reform has failed to achieve it desired objective of reducing the corruption in India.Although no authorities have announced it yet,but Reserve Bank of India's data proves so.

old RS 1000 noteAs per the data given by the RBI in its annual report on Wednesday, of the Rs 15.44 lacs crore of notes taken out of circulation with demonetization of Rs 500 and Rs 1,000 notes on 8 November, Rs 15.28 lacs crore were returned to the system by way of deposits by the public.
Former RBI governor rajan
According to report, 89 million of the banned Rs 1,000 totalling Rs 8,900 crore had not been returned, out of 6,858 million such notes. This amounts to 1.3% of the Rs 1,000 notes in circulation before the demonetization announcement on 8 November last year.
Former RBI governor Raghuram Rajan has said that demonetisation at this point is not an economic success as the costs associated with the exercise has been substantial while GDP has taken a hit.

Demonetisation in India- A Failure Demonetisation in India- A Failure Reviewed by Roman Empire on September 03, 2017 Rating: 5
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