Demonetisation Explained By Shivam Bajaj

Black Money, the biggest problem of our nation which is also responsible for Defaming India as a country. but On 8th November 2016, Our Monetary reforms have taken a major change which has shaken not only the entire nation but also each and every economy of the world as far as trade is concerned, and this decision was demonetization of old currency notes of Rs 500 & Rs1000. This decision was taken By Our Hon’ble. Prime Minister Shri Narendra Modi Ji to curb the practices of black money nationwide and you will be shocked to know that there are approx. 5.5 Lakh Crore of Deposits being made in the banks and it’s not even a week since the decision was made. and SBI Alone has collected deposits worth 55000 Crore in the last 2 days.

I mean Just think the amount of money collected by our banking sector in few days…if this is the situation in such few days imagine what will happen in 50 days i.e the deadline was given by Our PM to arrest all the old currency.

Modi said in a statement that the “demonetization process has been on for the last 10 months and his government has been working on curbing black money. The PM said that since his government came to power, it has unearthed at least 1.25 lakh crore of black money and the process will not stop even after December 30 — the last date to deposit the demonetized notes in banks to get the money back in legitimate currency notes.”I think this reform is the best way out till now to get all the fake currencies and black money out. Few days after the decision was made by the RBI, that they have issue New currency note of Rs 2000 and a new currency of 500 will be announced soon.

Now, the people not only had to be in Long Queues just to deposit money but now they also need to exchange them for the New Currency of Rs2000, As the system widens up and new policies start coming in many banks and ATMs started running out of cash but as RBI was the facilitator soon this problem was also solved step by step , many banks are still facing problems of cash running out but it can be solved.

Many people standing in long queues faced many difficulties but as soon as the new currency of Rs 2000 came in their hands it gave them immense pleasure and happiness and they forget all the worries they had while queueing up for the same.

RBI Clearly said that “We will not run out of new currency notes and we have sufficient currency to get exchanged” soon after this decision of Demonetisation Mr. Modi is till date giving speeches in different states explaining people about the same.

Unlike every time, Opposition Has something to go against with ,this time also almost every party and every politician apart from BJP is against with this step but this time also Mr. Modi does not care about what others say because he knows that it will only be problematic with the people who only have black money in larger amounts.

The government now knows that it will be problematic for the people who will be traveling so they issued an exception for them but taking this negatively people bought lakhs of railway tickets from black money and now expecting the governments to change that black currency to white from them without depositing in banks.

So now governments now have to think twice before announcing any Exception. However, if you don’t want to spend your money and would rather exchange them for lower denominations, you can do that easily. Here are ways to do it:

1. You can deposit old notes of Rs 500 or Rs 1000 in bank or post office accounts till December 30, 2016. There won’t be any limit imposed on these deposits. However, there will be a limit on withdrawal. Initially, the limit has been set at Rs 24,000 per week. 

3. The ministry also advised banks to increase cash withdrawal limits in ATMs to Rs 2,500 per day in recalibrated ATMs. People were able to withdraw only up to Rs 2,000 so far. As for the exchange of demonetized banknotes, the ministry advised increasing the limit from Rs 4,000 to Rs 4,500. The new currency notes of Rs 500 also finally hit the bank branches.