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Modi takes out ₹500 and ₹1000 rupee notes from circulation tonight!

If you think that what Modi did was great... pls explain how it will eradicate corruption and black money..

Then can think about following it as a template.


I dont know how much you can grasp , but this not some thing they decided on day its a very well thought through and been implemented from months . Demonetisation is just one of the steps the govt has taken .

A lot has changed since this Govt has come in and they have been making it very difficult for anyone to evade tax or do undeclared cash transactions . IT dept has been pulling up all transactions which are higher than your tax declared amount , there are lot of triggers which are being monitored like multiple cash transactions , spike in cash deposits , any transaction 10 lac per day etc . The banks have been reporting this for a while now , not since yesterday .

to give you an example , when one of my uncle was trying to buy a property in black couple of months back the builder actually refused . For a property worth ~1.4 crore , he offered to take only ~5lac in cash . He was telling us how difficult it was to do cash transactions lately and was abusing the Govt . I know few people in business involving mostly cash dealings complaining about the same .

They started with a drive to open banking accounts for all .
Then the black money declaration scheme last month.
Now demonetisation .
GST is another big factor which will ensure further tax compliance .
 
OK lets come to the loans now.. :irfan

In the last four years public sector banks have discounted/discarded 2lakh crores and the GOI doesnt want to expose any details on this.

Also supreme court asks to expose the names of people who has taken nearly or more 500 crores as loan and still didnt pay though they can pay. the same GOI and RBI rejects it as a secret and exposing it will hinder the progress of those corporates, instead they will request them to pay in the future...

so now this GOI is planning to eradicate corruption and black money. the question is from where and who?

Poor civilians and their ignorance...

So you sound bitter because the elite and the powerful would black money hoarders might not get punished and the ones who are being affected are the middle/lower black money hoarders.. How do you know the next step of government won't be to target the ones which illegal assets and bring back stashes of money abroad?

This is a terrific move your point of argument is pretty pathetic and sounds Rahul Gandhish to me.. Let the government complete its 5 years and if the elite are not being targeted and it's fair enough to criticise the government..

But blindly saying this move is bad just because some other things are not being done is wrong way to go..
 
It is one of the rubbish moves and taken out of desperation or may be to keep people interested that the GOI is doing something to eradicate corruption and black money...

And many people believe this biggest joke as a great move, crazy is many well known non-taxpayers being public figures is echoing in their tweets as it is a great move lol...


Desperation?? Lmao

Brother ever since BJP came into power Modi Ji was planning this.. why do you think millions of bank accounts were opened? Giving benefits for poor to open bank accounts? It's not at all desperation but a very well planned move..

read some articles online and educate yourself about it without keeping a bias against Modi.
 
The recent black money amnesty raised over $10b in taxes for the government. And many are estimating this move may raise 5 or 10 times that.

The figures being reported of the amounts of cash some people have been hoarding in their homes is staggering - lots of so called middle class folks or middle level government employees with 6 figure sums (in £ or $ terms) stashed away at home.
 
‘Don’t bring your phones’: Modi’s cabinet meet that took everyone by surprise

When the Prime Minister’s Office called ministers’ offices to invite them for the cabinet meeting, they were told not to bring their mobile phones. The instruction was repeated hours before the meeting started on Tuesday.

If this communication led to some curiosity among the ministers, the next message raised more eyebrows.
Prime Minister Narendra Modi gave an instruction that all cabinet ministers must be present in the meeting and nobody should be out of the capital, at any pretext.

Read | Deposits above Rs 2.5 lakh to be taxed, mismatch with income to draw penalty
The agenda paper of the meeting did have a few items but not a single word was mentioned about the biggest surprise: the demonetisation of high-value bank notes.

It was the first subject on which Modi briefed his ministers in the cabinet meeting. After his briefing, Modi turned to a senior colleague and smiled, “This is why I told you not to be absent.”

While the announcement took almost everyone by surprise, a senior minister told HT, “at least four times in the last three months, the PM told us to tell chartered accountants to be more sensitive towards black money. He also asked us to spread awareness against black money.”

A source told HT that an instruction was sent, along with the cabinet agenda, to the ministers not to carry their mobile phones to the meeting. “Our office got a call later reminding about the instruction,” the minister said.

The PM’s briefing was similar to the address to the nation at 8 pm on Tuesday. Most of the ministers watched the PM’s speech from the room where the cabinet meeting was held.

Read | Withdrawal of bank notes puzzling, won’t drain illegal cash: Chidambaram
Sources added that besides finance minister Arun Jaitley, about 20-25 senior officials of the government and the Reserve Bank of India had a whiff of what it was about when the cabinet meeting started.
The bank chiefs, who will play a critical role in implementing the decision of sucking out currency denominations of Rs 500 and Rs 1,000, too had no information about the issue.

The only fact known was that currency notes of Rs 2,000 will be introduced in the market. Nobody took it seriously as such introductions of new currency denominations have been taking place from time to time.
Chiefs of banks got the message only after the PM’s announcement. They were briefed about the decision and that bank branches and ATMs will remain closed for public transactions on November 9.

“The intention was not to let anyone know so that those with black money do not get any opportunity to turn their black money into white… you cannot be giving them opportunities after opportunities,” a senior official of the department of financial services, who did not wish to be identified told HT.

http://www.hindustantimes.com/india...SZTmL.html?utm_source=LI&utm_medium=also-read

Interesting read and turn of events.
 
By the way, I thought this was the tweet of the night:

<blockquote class="twitter-tweet" data-lang="en"><p lang="en" dir="ltr">WITHDRAW THIS DRACONIAN DECISION</p>— Mamata Banerjee (@MamataOfficial) <a href="https://twitter.com/MamataOfficial/status/796031968945180673">November 8, 2016</a></blockquote>
<script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script>

In all caps too! :91: :91: :91:

And guess what? It was re-tweeted by Kejriwal!
 
The recent black money amnesty raised over $10b in taxes for the government. And many are estimating this move may raise 5 or 10 times that.

The figures being reported of the amounts of cash some people have been hoarding in their homes is staggering - lots of so called middle class folks or middle level government employees with 6 figure sums (in £ or $ terms) stashed away at home.

The middle class folks will actually get away ( using multiple accounts etc ) , an amount ~10-15 Lac Rs can be managed , but its people who have 25 Lac or more in cash who have no where to go . Which is fine imo
 
The middle class folks will actually get away ( using multiple accounts etc ) , an amount ~10-15 Lac Rs can be managed , but its people who have 25 Lac or more in cash who have no where to go . Which is fine imo

Why, 10-15L is a huge chunk of money for any middle class guy to have in cash. If he were to deposit that in one or more bank accounts between now and December 30, bam - he's already in the highest tax slab and the taxman will be zeroing in on his co-ordinates come his next IT-return.
 
<blockquote class="twitter-tweet" data-lang="en"><p lang="en" dir="ltr">I enquired from all sections of society about present financial chaos.The feeling is that blackmoney was to b brought back from outside 1/2</p>— Mamata Banerjee (@MamataOfficial) <a href="https://twitter.com/MamataOfficial/status/796724191714103296">November 10, 2016</a></blockquote>
<script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script>

<blockquote class="twitter-tweet" data-lang="en"><p lang="en" dir="ltr">... as per the electoral assurance. But now the government has made the common people feel helpless and penniless. Is it right ? 2/2</p>— Mamata Banerjee (@MamataOfficial) <a href="https://twitter.com/MamataOfficial/status/796724272613818368">November 10, 2016</a></blockquote>
<script async src="//platform.twitter.com/widgets.js" charset="utf-8"></script>


more of these gems from her [MENTION=132715]Varun[/MENTION] :))
 
Why, 10-15L is a huge chunk of money for any middle class guy to have in cash. If he were to deposit that in one or more bank accounts between now and December 30, bam - he's already in the highest tax slab and the taxman will be zeroing in on his co-ordinates come his next IT-return.

its not difficult to find 5-8 friends/family with similar income and who are willing to help out . There is no reason for IT guys to pull up accounts with less than 2 lac deposits . This is what most likely a CA would be telling these small time business men .
 
its not difficult to find 5-8 friends/family with similar income and who are willing to help out . There is no reason for IT guys to pull up accounts with less than 2 lac deposits . This is what most likely a CA would be telling these small time business men .

Fine, let them make the effort and live in suspense for the rest of the financial year at least.
 
So you sound bitter because the elite and the powerful would black money hoarders might not get punished and the ones who are being affected are the middle/lower black money hoarders.. How do you know the next step of government won't be to target the ones which illegal assets and bring back stashes of money abroad?

This is a terrific move your point of argument is pretty pathetic and sounds Rahul Gandhish to me.. Let the government complete its 5 years and if the elite are not being targeted and it's fair enough to criticise the government..

But blindly saying this move is bad just because some other things are not being done is wrong way to go..

No answer for the SBI loans...cool.

I think kejirwal also filed a case on AMBANIs with regards to petroleum and natural gas sometime ago... And how it is now...

I'm sure 100% sure the elite groups will go untouched even if ur beloved BJP rule it for 10 years time.. It is how it is....Keep chest thumping.....


The BJP politicians thought money is the problem for inflation and demonetisation is the solution for inflation check and urged RBI ex-governor to bring this economic slowdown. He quit, chose to go back to academia instead educating chaiwalas and his goons. lol...
 
Desperation?? Lmao

Brother ever since BJP came into power Modi Ji was planning this..
why do you think millions of bank accounts were opened? Giving benefits for poor to open bank accounts?
It's not at all desperation but a very well planned move..

read some articles online and educate yourself about it without keeping a bias against Modi.

cool... millions of bank accounts opened... when will ur MODI JI open banks and deposit the 15 lakhs bro.

first open banks and post offices where ur MODI JI asked people to go and change their money in villages... India and Indians are still a poor country, in many underdeveloped provinces there are no banks and post offices...


they said GOI will put 15 lakhs in every indian account, we will also see that in 5 years time...:rp
 
I dont know how much you can grasp ,
but this not some thing they decided on day its a very well thought through and been implemented from months .
Demonetisation is just one of the steps the govt has taken .

A lot has changed since this Govt has come in and they have been making it very difficult for anyone to evade tax or do undeclared cash transactions . IT dept has been pulling up all transactions which are higher than your tax declared amount , there are lot of triggers which are being monitored like multiple cash transactions , spike in cash deposits , any transaction 10 lac per day etc . The banks have been reporting this for a while now , not since yesterday .

to give you an example , when one of my uncle was trying to buy a property in black couple of months back the builder actually refused . For a property worth ~1.4 crore , he offered to take only ~5lac in cash . He was telling us how difficult it was to do cash transactions lately and was abusing the Govt . I know few people in business involving mostly cash dealings complaining about the same .

They started with a drive to open banking accounts for all .
Then the black money declaration scheme last month.
Now demonetisation .
GST is another big factor which will ensure further tax compliance .

I never knew or rated them to be that shrewd lol...:rp
 
So you sound bitter because the elite and the powerful would black money hoarders might not get punished and the ones who are being affected are the middle/lower black money hoarders.. How do you know the next step of government won't be to target the ones which illegal assets and bring back stashes of money abroad?

This is a terrific move your point of argument is pretty pathetic and sounds Rahul Gandhish to me.. Let the government complete its 5 years and if the elite are not being targeted and it's fair enough to criticise the government..

But blindly saying this move is bad just because some other things are not being done is wrong way to go..

why should i sound bitter.. I'm asking simple question

Why the big guns though owning billions, also get loans from nationalised banks and never pay them back are untouched... they take loan money from the bank as if it is their own locker at home...Nothing has been done or caught accountable for it...why?
 
this BJP businessman named Kamboj knew that the GOI is going to announce the intro of 2000rs 3 days before modi announce it on nov 8th... if it was that secret how did he know and how did he manage to have those 2000 rs bundles on his hand...

it is very clear that the MODI regime have already announced and issued 2000rs note to his party businessmen and chamchas from adani to ambani...he carried out this operation very secretly is another big hogwash...

i think this news is few days old, just as an fyi and letting ppl who dont know...

some still believe modi is the superstar (real hero of nayak) lol...:hafeez2...

again they will come up with something stupid to defend modi....:facepalm:....

where are those chest thumping indian padosis...
 
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Rather worrying to see the long queues.Flying to Delhi in Jan and hopefully this mess gets sorted by then.
I know its anti-national to ask questions,but why is the amount that can be withdrawn so low?
Is it only because the govt was so moronic that it did'nt print enough money to replace what they were removing from circulation?
 
Black money helped Indian economy during global recession: Akhilesh Yadav
In a controversial remark, Uttar Pradesh chief minister Akhilesh Yadav on Tuesday said economists were of the opinion that PM Modi hints at more steps next year to root out black money+ helped the Indian economy in times of global recession. . . "I am very clear on this...black money should not be generated. Economic experts say the magnitude of the global economic crisis at times is not felt in India because of strong (parallel) economy of black money," he said.


This guy is UP chief minister.
 
Black money helped Indian economy during global recession: Akhilesh Yadav
In a controversial remark, Uttar Pradesh chief minister Akhilesh Yadav on Tuesday said economists were of the opinion that PM Modi hints at more steps next year to root out black money+ helped the Indian economy in times of global recession. . . "I am very clear on this...black money should not be generated. Economic experts say the magnitude of the global economic crisis at times is not felt in India because of strong (parallel) economy of black money," he said.


This guy is UP chief minister.

There is some merit to what he says. Kaushik Basu, if I remember correctly, has theorised about how India's parallel economy kept it insulated from some of the effects of the recession - specifically with regards to the way the real estate market operates.

Obviously Akhilesh Yadav has no idea of the intricacies of what he has just said. is just making a random statement for poltical capital, like every other poltical party in India at the moment.
 
This currency issue seems to have put an end to Kashmiri protests too.

Stone pelters who were getting paid for throwing stones are not getting paid. There is cash crunch every where.

Modi's decisions work in mysterious ways.
 
'No stone pelting on forces in Kashmir after demonetisation move' - Manohar Parrikar

Did not see your post. It is true.

Stone pelters have mysteriously disappeared from news. Not one incident has been reported in the past week.

Looks like the elements that fund these stone pelters have been hit hard.

My guess is the funding elements will take some time before they can come up with fake currency notes again. Once they do that the pelting will start again.
 
Did not see your post. It is true.

Stone pelters have mysteriously disappeared from news. Not one incident has been reported in the past week.

Looks like the elements that fund these stone pelters have been hit hard.

My guess is the funding elements will take some time before they can come up with fake currency notes again. Once they do that the pelting will start again.

lol

The stone pelting incidents decline ever since mass arrests, crackdown, detentions under the draconian Public Safety Act and public being tired now (which is natural for mass movements)

Nothing to do with demonetization.
Infact, demonetization has had the least effect in Kashmir as people already have been under curfew and Hartals


#BakhtLogic #SurgicalStrikeOnStonePelters
 
Seems that Indian PP'ers are relatively cocooned from any of the panic filling the nation among ordinary citizens. 25 reported dead already as direct result of the withdrawal of the notes:

http://www.financialexpress.com/ind...s-of-unaccounted-money-in-only-5-days/445560/

HomeIndia news Demonetisation crisis: 25 people dead in a week already
Demonetisation crisis: 25 people dead in a week already

25 people have been reported dead in several parts of the nation due to demonetisation drive within a span of a week.

The historic step of the Centre to ban old high-value currency notes in a bid to combat corruption and black money has brought some bad news in its wake. 25 people have been reported dead in several parts of the nation due to demonetisation drive within a span of a week, the real number could be more. Some of these unfortunate people died standing in queues, others when some medical shops, hospitals and local vendors refused to accept Rs 500 and Rs 1,000 notes.
In a tragic incident, a child died in the Bulandshahr branch of Kailash hospital, owned by union culture and tourism minister Mahesh Sharma, as his parents had only old currency notes and the hospital administration allegedly wanted him to deposit an advance of Rs 10,000, reported The Huffington Post. Another major case reported from Surat (Gujarat) where a 50-year-old woman committed suicide. The mother of two was not able to buy ration to feed her family because the ration shops refused to accept old currency notes.
 
lol

The stone pelting incidents decline ever since mass arrests, crackdown, detentions under the draconian Public Safety Act and public being tired now (which is natural for mass movements)

Nothing to do with demonetization.
Infact, demonetization has had the least effect in Kashmir as people already have been under curfew and Hartals


#BakhtLogic #SurgicalStrikeOnStonePelters

Pelting incidients have declined because the printing presses across the border for counterfeit currency that fuelled these agitations have been rendered useless .. another pleasant consequence of the war on black rupee :)
 
Watching NDTV Prime time as Ravish Kumar goes to rural India to record the suffering of the common man and Modi bhakts aka ghatiya,gawar goons who are as allergic to the truth as their Supreme leader come to threaten him and this happens wherever he goes.
And then the Modi bhakts on here have the the gall to preach to Pakistani's about press freedom.
Besharmi,thy second name is a Modi bhakt.
 
Ever since Modi took the office, he has been a man on a mission wanting to change India for the better. Hats off to the greatest PM, India ever had
 
Seems that Indian PP'ers are relatively cocooned from any of the panic filling the nation among ordinary citizens. 25 reported dead already as direct result of the withdrawal of the notes:

this is really sad that many of them lost their lives due to panic. This is not going good in rural areas and certainly govt. was not prepared well there. Urban People where most having plastic money or digital wallet are in queues for ATM but they really need not go
 
lol

The stone pelting incidents decline ever since mass arrests, crackdown, detentions under the draconian Public Safety Act and public being tired now (which is natural for mass movements)

Nothing to do with demonetization.
Infact, demonetization has had the least effect in Kashmir as people already have been under curfew and Hartals


#BakhtLogic #SurgicalStrikeOnStonePelters

Rupees paid by Masters to the pelters do not work anymore.

Just wait for a couple of months and the agitators will be back on streets. Even the funders need some time to print the duplicate Indian currency.

Public arrests? So you mean the Govt did not arrest anyone for the past 1 year and suddenly arrested everyone right on the Demonitization eve? All of this is coincidence?

Maan gaye guru. :))
 
Seems that Indian PP'ers are relatively cocooned from any of the panic filling the nation among ordinary citizens. 25 reported dead already as direct result of the withdrawal of the notes:

Yep there is also another side to it where lots of struggling (albeit for short term).

Businesses are struggling too cos they are not able to pay cash to workers.

When majority of cash is taken out of circulation in a nation, you do affect the economy. Heard Rajan was also skeptical of this move.

Its not all hunky dory as its being portrayed.

Have mixed feelings really.

Want this to be a success but can't have a uni-dimensional view of things.
 
Seems that Indian PP'ers are relatively cocooned from any of the panic filling the nation among ordinary citizens. 25 reported dead already as direct result of the withdrawal of the notes:



This is sad news.. Modi did a good move unfortunately people in the country are not mature/humane enough to help the poor.. Hospital staff refusing treatment is disgraceful I hope action is taken against the people responsible for this..
 
Bhakt Logic

Rupees paid by Masters to the pelters do not work anymore.

Just wait for a couple of months and the agitators will be back on streets. Even the funders need some time to print the duplicate Indian currency.

Public arrests? So you mean the Govt did not arrest anyone for the past 1 year and suddenly arrested everyone right on the Demonitization eve? All of this is coincidence?

Maan gaye guru. :))

1. Agitation does not take place every year 24*7
Mass Movements don't sustain so long

2. Protests died some weeks before demonetization.

3. Government rounded up 8000 guys in last one month and slapped with PSA. Read the bloody news (not the RSS magazine)


Try better next time
 
This is sad news.. Modi did a good move unfortunately people in the country are not mature/humane enough to help the poor.. Hospital staff refusing treatment is disgraceful I hope action is taken against the people responsible for this..

You cannot really blame anybody under the circumstances. They are also running what is primarily a business and need money to survive. Private hospitals may be able to support five or ten patients free free a day but if a hundred patients turn up everyday with no legal money, they will have to turn them down.
 
Short term pain (was always expected), definitely long term gain.
 
Lol this being given as a legitimate reason for the recent slowdown in Kashmir protests is the most laughable logic ever given

Do these people even try to conduct any due diligence or just try to think rationally?

Anyways sad to see the poor take the brunt of it (as expected and predicted) with 25 dead already
 
Short term pain (was always expected), definitely long term gain.

I would agree with that, although how much the ends can justify the means I'm not sure. I am reading stories today of a bank manager who died at his desk after working three straight days and nights. Then a woman who was shot dead by her husband for not waiting long enough in queues to exchange notes. It must be a harrowing time for so many ordinary people caught up in this mess.
 
Short term pain (was always expected), definitely long term gain.

Will there be ? I don't know. The estimate is that 13 crore people are standing infront of banks and ATMs everyday. For an average of 1 or 2 hours perhaps.

Suppose, we do flush out 4 lakh crores (I am just making up a number) while the lost productivity and business is more than that, can you still call it a success. If the current situation continues, definitely that latter will become greater than the gain.
 
Here is it how it has panned out imo:

Winners:
Banks,Online Wallet Apps

Losers:
Traders,Jewllers,People about to get married,Bank employees.

The ATM lines has lot of people angry no doubt some seem to be in favor although many blindly seem to support Modi as usual.

The issue was ATMS and banks were not trained enough to handle it and now we realize how change is a slow process and bollywood like moves don't necessarily work in real.

Another good thing would be in an year or so there would be drastic move towards Cashless economy which is what this will achieve and economy will probably kickstart by next year 3rd qtr.
 
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Will there be ? I don't know. The estimate is that 13 crore people are standing infront of banks and ATMs everyday. For an average of 1 or 2 hours perhaps.

Suppose, we do flush out 4 lakh crores (I am just making up a number) while the lost productivity and business is more than that, can you still call it a success. If the current situation continues, definitely that latter will become greater than the gain.

The lost hours or productivity will just impact this quarter or 2 quarters . The gains from this move along with GST gives us a shot at 10% growth in 2-3 years . So yes it's worth the pain .
 
Lol this being given as a legitimate reason for the recent slowdown in Kashmir protests is the most laughable logic ever given

Do these people even try to conduct any due diligence or just try to think rationally?

Anyways sad to see the poor take the brunt of it (as expected and predicted) with 25 dead already

It's not just kashmir . No case of violence or any such incidents reported , can you imagine that in India after such a big disruption due to this govt move ? You have to wonder about the role money plays here .
 
The biggest gainers from this is going to be middle class and as usual they are the onew whining about this the most . Some of these guys have been going and withdrawing cash on every opportunity , even if they don't need them and on other hand pretend as though they are concerned about how poor are getting impacted by this ..When there cash crunch , May be it would help not to stack up thousands of rupees at home in fear that RBI will run out of notes .
 
Some fools from Tara Taran, Punjab scanned the new 2000 rupees note and were printing and distributing it. Obviously they were caught by the police. How dumb some people can be. :misbah
 
I would agree with that, although how much the ends can justify the means I'm not sure. I am reading stories today of a bank manager who died at his desk after working three straight days and nights. Then a woman who was shot dead by her husband for not waiting long enough in queues to exchange notes. It must be a harrowing time for so many ordinary people caught up in this mess.

If the husband shot his wife for not waiting long enough in a queue, chances are that he would've shot her anyway for another petty matter if not for this. Tells more about the husband rather than anything else.
 
Many married women who don't work have a "stash", often hidden from the husband, for harmless reasons or otherwise (drunk, violent etc.). This move affects them negatively as the stash is revealed/becomes useless ....
 
Another good thing would be in an year or so there would be drastic move towards Cashless economy which is what this will achieve and economy will probably kickstart by next year 3rd qtr.

is cashless economy something good?

Is it right to have every transaction under the eyes of the government ? Basic privacy anyone ? One can easily see where this would lead to over a few years ....

The mantra seems to be that if you have any cash, the bank has the right to it...... keeping it at home is a crime ...
 
Some fools from Tara Taran, Punjab scanned the new 2000 rupees note and were printing and distributing it. Obviously they were caught by the police. How dumb some people can be. :misbah

I have heard similar stories , the new currency note is thinner than earlier one. Still only a dumb person would fall for fake printed note.
 
is cashless economy something good?

Is it right to have every transaction under the eyes of the government ? Basic privacy anyone ? One can easily see where this would lead to over a few years ....

The mantra seems to be that if you have any cash, the bank has the right to it...... keeping it at home is a crime ...

Casheless economy makes ppl pay income tax and that's imp in South ASia considering hardly 5% pay proper income tax ,privacy is useless when half population sleeps with a meal less.
 
is cashless economy something good?

Is it right to have every transaction under the eyes of the government ? Basic privacy anyone ? One can easily see where this would lead to over a few years ....

The mantra seems to be that if you have any cash, the bank has the right to it...... keeping it at home is a crime ...

The idea is to make people pay taxes for income they are generating . Not against people holding cash as long as its legit .
As for cashless economy , it will never be 100% but the idea is get close to global standards . Some people may be forced to go cash less now , but in the longer run it will benefit them . The smaller business will not be able to compete with big MNC's who are offering all kids of options for customers . And we like it or not , the consumer wants convenience now , as much as you would like to help the poor or small business when you want something you will probably walk into a super market and swipe your card .
 
Any economists here who can give a clear picture of what both sides are saying?

Seems like mixed reactions are coming in with some saying its just a temporary setback for real black money hoarders.

Also some saying sucking cash out of a economy will have larger ramifications.
 
Any economists here who can give a clear picture of what both sides are saying?

Seems like mixed reactions are coming in with some saying its just a temporary setback for real black money hoarders.

Also some saying sucking cash out of a economy will have larger ramifications.

Financial experts in IIM Bangalore hailed the move and positive but are skeptical to predict at this point and advised to wait till 31-March next year. This is happening for the first time where 86% of the cash is in the banned notes in a developing economy. However they have warned that the govt need to monitor this very carefully.

GDP = C + I + G + X
C- Consumption will go down as there is a limited cash, I - Investments will also go down in short term, G- Govt spending will increase after march as they will have money to spend on infra and agri. X - export from small scale will go down. So the current GDP will go down by more than 0.5%( just an approx. could be more depends on how much G is going to be). It will certainly lose fastest growing economy tag to China this year. There are distress for poors who has 500/1000 cash but not likely to affect BPL. Depending on how govt. handles 2018 could be really good year economically for India.

Some positive expectation ( current cash in 500/1000 = 15Lac crore in circulation approx)
- Definitely counterfiet will be completely eliminated atleast for next 1-2 years.
- Govt. expects to get 11 Lac crore of deposits. Remaining 3-4 Lac crore is not expected to be deposited because of nature of black money where the holders will not be deposit. You would have recently heard many burning the cash and throwing it in the river or depositing anonymously in the temples. This is a profit to RBI where in accounting wise they can strike off the liability but not sure how RBI and Govt will treat this as this will happen for the first time.
- out of which 4-5 Lac crore our of 11 lac expected will be untaxed money deposits for which people have to pay penalty and tax( expected revenue would be atleast 2lac crore) remaining 7 lac crore will be public money deposited so that cannot be touched but this brings inclusivity in the banking system abd banks can reduce the interest rate which means I - investment should increase in the above equation.

We will have to wait and see after march how it is panning up. Govt have to be on their toes and cannot afford to relax.

Till now 5.5 Lac crore is deposited in last 12 days out of which 22% is a deposit of more than 10Lac.
 
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If the husband shot his wife for not waiting long enough in a queue, chances are that he would've shot her anyway for another petty matter if not for this. Tells more about the husband rather than anything else.

I suppose. By the same token you could also say it says much about Indian mentality that people are trying to cheat the system stashing black money in the first place if we are going to draw larger conclusions from this episode.
 
Any economists here who can give a clear picture of what both sides are saying?

Seems like mixed reactions are coming in with some saying its just a temporary setback for real black money hoarders.

Also some saying sucking cash out of a economy will have larger ramifications.

Real Estate market is gonna take a real hit, sellers will not accept the old currency notes which means all payment would need to be done in white and people will not have enough white money to pay the value of the property as it was before demonetization.
Hence property prices are/will crash which means as a seller I would be unwilling to sell (except extreme circumstances) which would lead to an over all freeze in the real estate market.
 
Real Estate market is gonna take a real hit, sellers will not accept the old currency notes which means all payment would need to be done in white and people will not have enough white money to pay the value of the property as it was before demonetization.
Hence property prices are/will crash which means as a seller I would be unwilling to sell (except extreme circumstances) which would lead to an over all freeze in the real estate market.

To balance that Govt will most likely give incentives to Housing sector . RBI is expected to cut repo rate ~50 bps in Dec and over all its expected the the borrowing rates will be down by 1% . So I wudnt expect the market to crash to the extent people are expecting .
 
Indian ppers. I am trying to gain an idea of where Indians stand on this issue. After the initial acceptance, have people started to get more angry as it impacts their lives?

Small and middle class traders/businessmen constituted a bulk of Modi's vote base. Has he started to alienate them?

Can't expect people on here to be able to comment too much on the lower strata of society, or how things are in the villages, but if people know anything first hand (i.e. not based of media reports), would be nice to hear what its like.
 
Indian ppers. I am trying to gain an idea of where Indians stand on this issue. After the initial acceptance, have people started to get more angry as it impacts their lives?

Small and middle class traders/businessmen constituted a bulk of Modi's vote base. Has he started to alienate them?

Can't expect people on here to be able to comment too much on the lower strata of society, or how things are in the villages, but if people know anything first hand (i.e. not based of media reports), would be nice to hear what its like.

People who sincerely paid taxes are supporting this move.

People who do not pay their taxes and stash their money under their pillows and beds are suffering.

One good thing that has come out of this is, nobody is able to pay dowries in currency during marriages. Severe shortage of cash. Of course those guys are busy buying Gold. But they need to pay Tax on that.

Illiterate and poor people who do not know much about how Banks work are also suffering. They do not want to ask for help as everyone will find out how much money they have. At the same time, they may be losing a lot of money if they do not seek help.

Its a pretty Good move. This needs to be done once every decade. People should always be kept on their heels. However, this could have been implemented a bit better. Govt should have set up several areas where people can exchange their black money. Its not easy. But I wish steps should have been taken so that people would not have to stand in queues for long hours just to draw Rs.2000.

My Parents are not bothering to go to the bank to exchange their 10,000 Rs. Too much hassle to go through for old people.
 
55 people dead ,people being lathicharged as they queue up to get their own money and for bhatks and their bhagwan ,all iz well.
Watching Prime time and it is tragic and crushing, the utter apathy with which the state machinery treats the poor farmers.India is truly a country of jiski lathi uski bhains and unfortunately the lathi wielders are the govt servants.
The only silver lining on the show was a farmer in Punjab who said"yahan koi Modi ki tareef kar ke to dikhaye".
Thank God for the Punjabi's who are never afraid to say it like it is.
 
It will be back to usual, getting people to pay taxes in a corrupt wider setting is not an easy task.

The traders who hoard to avoid paying taxes will still do so by taking a one off hit if it comes to it.

The ultra rich will be completely unaffected as they won't be stuffing matrices with life savings....

This is more of a psyop on the Indian psyche....
 
Indian ppers. I am trying to gain an idea of where Indians stand on this issue. After the initial acceptance, have people started to get more angry as it impacts their lives?

Small and middle class traders/businessmen constituted a bulk of Modi's vote base. Has he started to alienate them?

Can't expect people on here to be able to comment too much on the lower strata of society, or how things are in the villages, but if people know anything first hand (i.e. not based of media reports), would be nice to hear what its like.

I know a few Muslims who were against bjp during the last election.

After this Demonetization, they are starting to support modi (still against bjp perhaps). Even people standing in line, they are considering it as responsibility towards nation. Yes, they are complaining due to long que but it hasn't come to a point where agitation was severe.

On lower strata, though the penetration of banks is low but due to involvement of post offices (in the role of small savings bank) is serving the role greatly. There are post offices where you can't even get a mobile signal. From my personal experience, I'll say that villages are at much better position than towns because you need to go branch offices whose numbers are high, hence less crowded. It only becomes the headache of Branch managers when he submits the cash to sub offices and it'll be more tiresome as you go up in the pyramid.

People are panicking for no reason. If you just use a little bit of common sense, you won't face much difficulty.
 
To reduce black money most private schools and other private firms are giving 6months to 1 year advance salary in old currency notes.
 
To reduce black money most private schools and other private firms are giving 6months to 1 year advance salary in old currency notes.

:facepalm:

These people think they are geniuses, When you give advance salaries, it gets recorded as being given in advance. These private firms still need to explain so much cash at the time of giving the advance. The employees would be depositing their salaries in the bank anyway. Hence, easily traced to the employer.

The IT-department is actually laughing at this move. The good thing about this move, the employees will get to have their money, (as they paid their dues properly) but these private firms will be penalised heavily.
 
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Indian ppers. I am trying to gain an idea of where Indians stand on this issue. After the initial acceptance, have people started to get more angry as it impacts their lives?

Small and middle class traders/businessmen constituted a bulk of Modi's vote base. Has he started to alienate them?

Can't expect people on here to be able to comment too much on the lower strata of society, or how things are in the villages, but if people know anything first hand (i.e. not based of media reports), would be nice to hear what its like.

This is not what i expected from this move. People are being beaten like rabid dogs in some part of the country. Absolutely pathetic..

https://ruralindiaonline.org/articles/the-cashless-economy-of-chikalthana/

 
People always complain about Corruption, but dont bat an eyelid when they do it on their own.
Despite the enormous convenience of going cashless, Most of still insist on paying the merchants via cash.

How many of you during bargaining with a merchant get a discount if we dont ask for the "bill"?
And how many of you get a "Kaccha bill"from the merchant?

Simple basic groceries and other daily need items an Indian household can easily manage in 10-20 thousand Rupees. You dont need cash to pay your utilities bill, why pay cash and get a mobile with no purchase receipt( to get a 5% discount).

If someone comes and harps that not everyone has an account, "YOU WERE SUPPOSED TO GET AN ACCOUNT" Govt. went out of its way to get everyone into banking system. Atleast in urban India, this excuse holds no candle.

This move has only exposed the hypocrisy of general public.

Anyway, this move is just a short term shock to prevalent corruption among the general public. We are simply addicted to small discounts earned via receiptless or kaccha bills. We dont care íf it adds to Black money, we want our discounts.
 
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55 people dead ,people being lathicharged as they queue up to get their own money and for bhatks and their bhagwan ,all iz well.
Watching Prime time and it is tragic and crushing, the utter apathy with which the state machinery treats the poor farmers.India is truly a country of jiski lathi uski bhains and unfortunately the lathi wielders are the govt servants.
The only silver lining on the show was a farmer in Punjab who said"yahan koi Modi ki tareef kar ke to dikhaye".
Thank God for the Punjabi's who are never afraid to say it like it is.

Poor farmers in Punjab ?
One of my family members runs a feeds/fertilizer company ..most of his trades with farmers run on credit and lot of guys owed him money which he had little hope of recovering completely and the day this was announced all these so called poor farmers returned that money in hard cash the very next day . Am not talking about 1-2 farmers here and neither am i talking about few thousand rupees .

And as for the lathi charge , is that done one Govt orders ? More to do with whats wrong with our society .
 
People always complain about Corruption, but dont bat an eyelid when they do it on their own.
Despite the enormous convenience of going cashless, Most of still insist on paying the merchants via cash.

How many of you during bargaining with a merchant get a discount if we dont ask for the "bill"?
And how many of you get a "Kaccha bill"from the merchant?

Simple basic groceries and other daily need items an Indian household can easily manage in 10-20 thousand Rupees. You dont need cash to pay your utilities bill, why pay cash and get a mobile with no purchase receipt( to get a 5% discount).

If someone comes and harps that not everyone has an account, "YOU WERE SUPPOSED TO GET AN ACCOUNT" Govt. went out of its way to get everyone into banking system. Atleast in urban India, this excuse holds no candle.

This move has only exposed the hypocrisy of general public.

Anyway, this move is just a short term shock to prevalent corruption among the general public. We are simply addicted to small discounts earned via receiptless or kaccha bills. We dont care íf it adds to Black money, we want our discounts.

Couldnt agree more .
I have always asked my colleagues and friends who keep whining about corruption just one simple thing , have you ever shown fake rent receipts or medical bills to save taxes ? Most of them say yes , but thats supposedly fine cos its a very small amount and anway there are others who are doing much bigger scams .
Our society is corrupt and selfish , be it a small time pan wala or a politician , given an opportunity they will cheat steal from 10rs to 10,000 cr . The average persons only issue is that some xyz is making more than him .
 
Financial experts in IIM Bangalore hailed the move and positive but are skeptical to predict at this point and advised to wait till 31-March next year. This is happening for the first time where 86% of the cash is in the banned notes in a developing economy. However they have warned that the govt need to monitor this very carefully.

GDP = C + I + G + X
C- Consumption will go down as there is a limited cash, I - Investments will also go down in short term, G- Govt spending will increase after march as they will have money to spend on infra and agri. X - export from small scale will go down. So the current GDP will go down by more than 0.5%( just an approx. could be more depends on how much G is going to be). It will certainly lose fastest growing economy tag to China this year. There are distress for poors who has 500/1000 cash but not likely to affect BPL. Depending on how govt. handles 2018 could be really good year economically for India.

Some positive expectation ( current cash in 500/1000 = 15Lac crore in circulation approx)
- Definitely counterfiet will be completely eliminated atleast for next 1-2 years.
- Govt. expects to get 11 Lac crore of deposits. Remaining 3-4 Lac crore is not expected to be deposited because of nature of black money where the holders will not be deposit. You would have recently heard many burning the cash and throwing it in the river or depositing anonymously in the temples. This is a profit to RBI where in accounting wise they can strike off the liability but not sure how RBI and Govt will treat this as this will happen for the first time.
- out of which 4-5 Lac crore our of 11 lac expected will be untaxed money deposits for which people have to pay penalty and tax( expected revenue would be atleast 2lac crore) remaining 7 lac crore will be public money deposited so that cannot be touched but this brings inclusivity in the banking system abd banks can reduce the interest rate which means I - investment should increase in the above equation.

We will have to wait and see after march how it is panning up. Govt have to be on their toes and cannot afford to relax.

Till now 5.5 Lac crore is deposited in last 12 days out of which 22% is a deposit of more than 10Lac.

Real Estate market is gonna take a real hit, sellers will not accept the old currency notes which means all payment would need to be done in white and people will not have enough white money to pay the value of the property as it was before demonetization.
Hence property prices are/will crash which means as a seller I would be unwilling to sell (except extreme circumstances) which would lead to an over all freeze in the real estate market.

Ok thanks.
 
Foreign citizens will be permitted to exchange foreign currency upto Rs.5,000 per week.Entry to this effect will be made in their passports-Ministry of Finance.
So the tourists will go queue up in front of banks every week to withdraw what would be less than 100 dollars in their currency and that will be recorded in their passports:facepalm:Way to kill the tourist industry in peak tourist season.
Har shakh pe ullu baitha hai...................
 
Foreign citizens will be permitted to exchange foreign currency upto Rs.5,000 per week.Entry to this effect will be made in their passports-Ministry of Finance.
So the tourists will go queue up in front of banks every week to withdraw what would be less than 100 dollars in their currency and that will be recorded in their passports:facepalm:Way to kill the tourist industry in peak tourist season.
Har shakh pe ullu baitha hai...................

Daily dose of whining continues...People overwhelmingly are supporting the move.Other than the opposition nobody is really bothered.Everybody is inconvenienced for sure but most are willing to put up for the greater good.
 
Daily dose of whining continues...People overwhelmingly are supporting the move.Other than the opposition nobody is really bothered.Everybody is inconvenienced for sure but most are willing to put up for the greater good.

Easy to say as long as it's not your relatives who are dying.
 
In a month or two , the cash flow will be back to normal , people will move on and all will be forgotten.

The only thing most people are going to remember about this episode come election time is that the PM tried to do something about tax evasion rather than the flaws of implementation.
 
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