RBI’s continue on Friday resembles a small scale demonetisation as the people who are holding such money in enormous amount need to make sense of the wellspring of such a huge money on the off chance that they are keeping or trading such notes
The RBI today chose to pull out the Rs 2000 note by thinking the perfect note strategy. Be that as it may, is it the fundamental explanation. Not actually.
The issuance of a high division note of Rs 2,000 was a need at the hour of demonetisation in light of the fact that the withdrawal of money influenced 86% of the complete cash in the framework. It was anything but a characteristic decision to issue such high category notes. The Rs 2,000 notes helped in driving more money into the framework to help the economy.
The Rs 2,000 note was empowering accumulating of such high section notes by dark marketeers as it was not difficult to store and trade. These notes before long began vanishing from the market, truth be told. The banks were whining about not getting enough Rs 2,000 notes as all banks have had recaliberated their ATMs to oblige Rs 2,000 notes.
Increment of lower division Rs 500 notes
There was generally an arrangement to give lower division note, yet that takes time since economy required the cash back to begin typical tasks. Today, these notes comprise just 10% of the complete notes of cash available for use.
Continuation of phony and fake notes
One of the targets of giving new notes was to beat phony and fake notes down. Higher section was likewise uplifting the phony and fake industry. Take, for instance, the mathematical Rs 2,000 was seen when the note is held against light. Essentially, there were different elements.
Small demonetisation for notes hoarders
RBI’s Friday move resembles a small demonetisation as Rs 2,000 notes worth Rs 3.62 lakh crore are still in the framework. The people who are holding such money in enormous amount need to make sense of the wellspring of such a huge money in the event that they are storing or trading such notes. On the off chance that these notes don’t return, RBI will demonetise them. They will presently not be legitimate delicate. This will be an increase for the RBI as they never again have the obligation to pay.
