demonitsation facts

2. DEMONETISATION
Demonetisation is the act of stripping
a currency unit of its status as legal
tender. Demonetisation is neccesary
whenever there is change of national
currency.

3. HOW THE PEOPLE REACTED FIRST
 The Rich people were very shocking
 Some people thought it was fake news
 Some people thought of purchasing jewellery
through the money they have
 Many were checking how much 500s and 1000s
they were having
 Like this there were mixed reactions from people

4. AIMS
There are 3 main aims for implementation of
Demonetisation:
curbing terrorism funding
war on black money
cashless society

5. 1.CURBING TERRORISM FUNDING:
The revenue that pakisthan’s ISI generates from
selling fake currency is primarily used to fund
terrorist operations. To avoid this government
focuses on implementing demonetisation.
Black money is commonly stored as bundles of
cash,usually of high denominations(500,1000),in
form of gold,real estate or foreign exchange.

6. 3.CASHLESS SOCIETY
 By removing Rs.500 and Rs.1000 from circulation,
the government aims to crack down on black money
stored as cash
Another aim that the government wants to achieve is
to make people rely more on cashless transactions
and use digital wallets (credit cards, Debit cards). It
is Planning for all transactions to be done digitally.
i.e Digital India Mission

7. LIMITATIONS FROM BANK
On 8.11.2016, it has been announced that 500 and
1000 would be invalid. There were certain
limitations laid for withdrawl and deposit of money
via bank. There were as follows:
In savings bank a/c , you can deposit upto 2,50,000
You can exchange upto Rs.4000 by showing your id
proof either pan card or aadhar card
In Atm machine, you can witdraw upto Rs.2000

8. FACILITIES PROVIDED:
 Considering some catogery of people Government
has provided certain facties for certain catogery of
people:
 Government has allowed upo Rs.2.5 alkhs cash
withdrawl from bank account of bride or groom or
their parents in case of wedding
 Current account holders were allowed to withdraw
cash upto Rs.50,000 in a week

9. FARMERS CAN ALSO WITHDRAW UPTO
RS.50,000 PER WEEK
Government had provision of accepting
500s and thousands Petrol bunks
,hospitals and particular government
sectors like E.b

10. AROUND US
After implementing demonetisation ,
there were both positive and negative
issues took place in India.
These were the few:
.
In many places 500’s and 1000 Rs
currencies were being burnt
Last month on some places currencies
were thrown on road side

11. IT HAPPENED
Bags of currencies were found on
orphanage, old age homes and even on
dustbins
There were unexpected cash
collections on temple hundials

12. POSITIVE IMPACTS OF DEMONETISATION
Cashless society
Illegal money can be reduced
Tax will be paid properly
Vat tax can be reduced
Fake currency circulation can be reduced

13. NEGATIVE IMPACTS:
People from rural area are affected more
By this demonetisation , only a part of black
money can be reduced
Because of this currency exchange many
bussiness would be dull for these 3 months’
More than rich people middle class people are
affected

14. CONCLUSION
According to my point of view, it is right
decision to demonetise.
It is one of the major step towads
eradication of black money in India.
It will affect common people to a greater
extent.
But for large interest of country such
decisions are inevitable