Impact of Demonetisation on the Indian Economy

Demonetization is the withdrawal of a particular form of currency from circulation. When a currency which is highly circulating in a market is withdrawn there will be problems as well as uncertainties in the market. Such an uncertainty was there when India demonetized its highest denomination currency notes of Rs 500 and Rs 1000 from the market which represents almost 86% of the total currency in the market. Different sectors of Indian economy faced different problems due to the cancellation of the legal tender character of currency notes. There are supportive as well as opposing views of economists on this issue. People have different views and perceptions on this demonisation. Here the author tries to analyze the demonetization policies undertaken by the government of India in the light of present government policies. It is hoped that this book will help to understand the perception of public on demonetization and also its impact on the Indin Economy.