Where is the promised windfall from demonetisation?

The Economic Survey 2016/17 was striking not only for its literary references, but also for its circumspect nature. One of major the drivers of this circumspection (which is not a trait one associates with the Narendra Modi government) was the yet-to-be-ascertained impact of demonetisation. The Economic Survey was cautious in saying that it would take … Continue reading Where is the promised windfall from demonetisation?

How is the government estimating India’s paper currency requirement?

As the government goes about printing new currency notes to replace the invalidated 500/1000 rupee notes, one wonders how this is being done. On one hand, the Reserve Bank of India (RBI) claims that there is "enough" currency in the system. On the other hand, government spokespersons claim that not all currency notes would be … Continue reading How is the government estimating India’s paper currency requirement?

A big bang attack on corruption, or is it?

ON 8th November 2016, at 8 pm, Prime Minister Narendra Modi suddenly announced to the nation, that the government intended to eliminate the 500 rupee and 1000 rupee note – dramatically, in four hours’ time. These two denominations account for about 90% of the currency in circulation in India currently. Various details have emerged since, … Continue reading A big bang attack on corruption, or is it?