April 14, 2024 03:25:51 booked.net

Today we will Find out About the decision to Demonetize on November 8, 2016, and its Impact on the Indian Economy!

On November 8, 2016, at 8:15 pm, PM Narendra Modi implemented demonetization across the country. In one stroke, Rs 500 and Rs 1000 notes out of circulation, which was the backbone of the Indian economy at that time. After 6 years of this decision, let us know its effect.

Do You Know When The First Demonetization Was Done In India?

Demonetization has happened many times in Indian currency history and every time the target has been big notes. In the pre-independence demonetization, two and a half rupees currency was discontinued. This thing is from the year 1926.

The note of 2 rupees 8 annas i.e. 2.5 rupees were issued in the year 1918. Then the paper currency was considered unimaginable as it was the era of coins. But the two-and-a-half rupee note told people how is paper currency.

The figure of King George V was made on the note 17 cm long and 12 cm wide. This note was issued for easy exchange of the Indian currency with the dollar, but due to the non-stabilizing currency of the currency, problems started, and then it was withdrawn.

In 1949, 5 thousand and 10 thousand notes were introduced, the experiment was not successful and both these notes had to be withdrawn.

The last demonetization in India took place on 8 November 2016, which we all saw happening.

Today we will know about the decision to demonetize on November 8, 2016, and its impact we will know what the country gained and lost from this decision.

When Prime Minister Narendra Modi announced demonetization at 8:15 pm, it was as if there was an earthquake in the whole country. Before the announcement of PM Modi, some people thought that he would speak about the bitter relationship between India and Pakistan or maybe about the war between the two countries. But the announcement of demonetization proved to be the most dreadful of them.

People lost their sleep overnight. In the rush, people could not understand what to do with the notes they had with them. Many people ran to the jewelers and on the contrary, started buying gold at a direct price. Many people adopted other avenues for investment… From the next day, banks and ATMs became permanent addresses of people. Lines became the face of India’s population. The government was also seen making new laws to give relief to the people and sometimes to those who hoard black money.

India On The Path To Cashless Economy!

Did demonetization push the country towards a cashless system?

Demonetization was touted as a support for digital payment. Today many people justify this policy for this reason, but the truth is the idea of ​​promoting online or cash payment was the second call. When this policy was brought, it was said to reduce the amount of cash in the Indian economy.