Are The US Government And USAID Responsible For India’s Ban On Cash?
Furthermore, GR points out the warning signs for this banknote ban go back as far as 2012. Ever since India went through its ban on banknotes, there have been rumors about why this situation came to be. Some people believe the US government is behind the demonetization of specific countries. Others feel these decisions are taken without considering the potential repercussions. We may never know who is behind this idea, but some evidence allegedly points the finger at the United States. Deciding to abolish over 80% of all cash in circulation overnight is not a popular option. The Indian....
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Digital finance has great potential to improve life for consumers and merchants in India. But the lack of familiarity has impeded digital money’s growth in the country. This lack of awareness exists despite India Prime Minister Narendra Modi’s national mission for financial inclusion. To help improve India’s digital future, the United States Agency for International Development (USAID) conducted a study identifying ways to ensure the success of Modi’s national mission for financial inclusion. The report, “Digital Finance – Beyond Cash,” examines the current behaviors and perceptions of....
Speaking of Bitcoin in India, LocalBitcoins saw an increase in volume last week. If there is one thing India’s banknote ban has taught us, it is how the plan did not work. Swapping the most widely used currency for new bills was an attempt to remove “black money” from circulation. But it turns out most banknotes have been swapped successfully. Either there is no significant amount of black money in the cash economy, or the bad actors moved wealth into other assets. In the end, it appears this cash swap serves no real purpose. One of the more pressing questions is whether or not India’s....
India’s regulatory stance on crypto has been shaky at best and prejudiced at worst, but what is India actually doing about crypto? India’s reserve bank has long since condemned the use of cryptocurrencies, but other than the Supreme Court striking down its 2018 bill last year, the Indian government’s stance on cryptocurrencies has been largely uncertain. On one hand, top sources tracking the government’s stance say it has shifted away from the idea of a complete ban. On the other hand, more banks have started barring cryptocurrency-related businesses from accessing their services,....
India’s widespread crackdown on black market cash could lead to a ban on gold imports, if a text sent by the Indian Bullion & Jewellers Association (IBJA) is to be believed. The trade body sent its 2500 members a text message informing them the government was hearing proposals on a possible gold ban. “We hear from certain circles of this possibility (gold import ban and advancement of deposit date) though nothing official is out yet,” according to Surendra Mehta, national secretary, IBJA. “The association is supportive of the government’s fight against black money and has informed its....
India’s Prime Minister Narendra Modi announced on November 9, 2016, that 500 and 1000 rupee notes would be taken out of circulation in an effort to reduce corruption, terrorism, black money and counterfeiting, and will no longer be accepted as legal tender in India. His surprise announcement caused chaos in the country as citizens scrambled to adjust to a new monetary norm that banned about 85 percent of cash in circulation. This move was meant to bring billions of dollars worth of unaccounted money back into India’s economy. The Indian economy has thus far run primarily on cash....