There is lot of Confusion after Govt announcement but these are my views

There is lot of Confusion after Govt announcement but these are my views

Positive Impact: (

  1. Fake currency note (Rs 500/1000) will go completely from the market and it will be huge positive for currency
  2. There was dead money of approx 5 Lakh crore which was not in use and it was either in lockers or home so was impacting economy a lot, now this whole money will come in system and lot of money will be used to rotate the Economy
  3. In last3 days, 1.5 Lakh crore money deposited in bank account which is more than new bank deposits of last 6 months average.
  4. In pune, govt collected approx 38 cr tax(property , water etc.) which were pending from last 5-7 years as they accepting old notes. This is just one city of India, amazing how much tax money pending in whole India. This money will come to Govt and where it will be , only development of India
  5. In NCR approx 100 crore sales booked in last 3 days by traders whose whole last year turnover was approx 20 crore
  6. Dead “Jan Dhan” accounts saw deposited of approx 140 crore in last 3 days

Positive Impact Businesses:

  1. Businesses like IT companies, insurance industry, BPO etc. Will not have any impact as they don’t deal in cash
  2. Almost all Export Units will have no impact at all as they always do transaction by RBI route

Negative Impact (

  1. For short term, there will be cash crunch of new currency so people have to control their expenses
  2. We are facing this problem, as use of Debit Card/Credit Card is very less in India and we use 80% time(specially cities other than Metros) cash to do transaction.
  3. Upper middle class or middle class in metro cities will not see this crunch as they are used to having credit card/debit card for all transactions
  4. Few business which were totally depend on cash will have more impact like jewellery but in this also branded jewellery like Tanishaq will have less impact or might be can see more sales as people will now move to branded Jewellery when they are paying in white money

Middle traders (like Kiryana store in small cities or small small business in all cities) will have impact as their undisclosed(not black) will be reduced so life style and saving will reduced.

November 18, 2016 / by / in