- 1 Banning Rs.500 and Rs.1000 Notes In India
- 2 Impact of Baning 500 and 1000 Notes
- 3 New 500 and 2000 Rupee Notes
Banning Rs.500 and Rs.1000 Notes In India
8 November 2016 – This Date will be Written in the Indian History in Golden Words. YES! The Prime Minister Of India Mr.Narendra Modi has Taken one of the Toughest Decision in the History of India(Maybe One of the Best Decision in the WORLD).
“Mr. Narendra Modi has Banned Rs.500 and Rs.1000 Currency Notes in India to reduce and remove the Black money from India. Many People Get Shocked by this Sudden Decision of Banning Rs.500 and Rs.1000 Currency Notes.”
Let us First Discuss about the Reason Behind Banning 500 and 1000Rs. Currency Notes.
The Main Reason behind this Economical SURGICAL STRIKE of PM of India is GET RID OF BLACK MONEY. (Definition of Black Money – It’s Very Simple Black money is the Money that we don’t Pay any type of Tax to the Government. Kind of Illegal Money).
Earlier in 2012 the Director of Indian Central bureau of Investigation(CBI) said that India has More than $500 Billion in foreign Tax Haven. It’s an Insane Amount of Many. Just think for a Second if this all Black money will return to India then the Economy will Rais like Rocket and the Inflation Ration will Decrease, the Devaluation of RUPEE with respect to the dollar will also Be Decreased, Millions of Employment chances for Indian Students and Much more will Possible. So, Modi Government has Decided to Take Serious Steps against Black money.
Here We have Collected Some of the Top Country Who have Highest Black money on Tax Haven in Swiss Bank. (These States May Increase or decrease also.)
India—- $1,500 billion
Russia —$ 480 billion
UK ——-$390 billion
Ukraine – $110 billion
China —–$ 100 billion
Here is Another big Reason after this Massive Step , Recently in March 2016 RBI Inform Modi Government about Some States of Currency Notes Circulation in India. According to RBI “The total currency in circulation in India was ₹18 lakh crore (More than US$270 billion). In terms of value, the annual report of Reserve Bank of India of 31 March 2016 stated that total bank notes in circulation valued at ₹16.42 lakh crore (US$240 billion) of which nearly 86% (around ₹14.18 lakh crore (US$210 billion)) was ₹500 and ₹1000 banknotes. In terms of volume, the report stated that 24% (around 2,203 crores) of the total only 9,026 crore banknotes were in circulation.”
These States Clear show that the Level Of Black Money that People of India Have. Out of 100%, only 24% of the India 500rs and 100rs Notes are in Circulation. So we can Imagine the amount of Black money in India.
The Second reason is DUPLICATE CURRENCY NOTES. In India, there are near to $50 Billion have Duplicate Currency Notes. The Main source and Origin of Duplicate Currency of Millions of Rupees is PAKISTAN MAFIA. Earlier according to Press Realize It states that the Circulation of Duplicate currency from Pakistan is very High.
So, This is One of the Biggest and Best Step by Modi Government to solve the Black Money Problem.
Impact of Baning 500 and 1000 Notes
Obviously, ly there is the Positive and Negative side of this Economic Surgical Strike. But Postive side is very High Compare to Negative one. Let’s See what are the Impacts on different Sector and Bussiness of this Modi Government Decision.
India has Huge Amount of Black Money holder in Swiss account but after this Decision all the Black money (Probably all) will recover by Government. This is a Huge amount and can be used for Many Welfare Schemes and Funding. So eventually GDP of the Country will Go High.
Tax havens and foreign accounts still untapped
The big fish will be left out whose black money is in the form of foreign currency, gold, and stashed away in tax havens. The scheme is not affecting the huge volumes of black money parked in Swiss/ Panama Banks, offshore accounts, gold, and property, etc but this Steps will Reduce the Level of Corruption for Sure.
Deflation in the Indian Economy
The Biggest Impact of Banning 500 and 1000 Note can be Seen in Economy. The Economy of India will set to High and Deflation and Unemployment Ratio and Percentage will be Reduce in Short Period of time. It’s Assume thattThe upcoming seven to eight months are expected to witness a considerable level of deflation. Sectors like real estate, construction material, unorganized trade, and services will see the significant pain in the near term.
Transparency in Real Estate Transactions
Real Estate is the Biggest Source of Black money. It’s assumed that Unorganised Builders and Secondary Property Market would be adverse Impacted by Government decision. Earlier People use this Black money in real estate by Buying Crore rupees bungalow and Property. After this decision they will come into the Radar of Income Tax Department and Mr. Modi Clearly Said that he will catch each and every Black money Holder after checking his/her Record in IT.
Increase Cashless Economy
Nowadays People tend to Divert in cashless Transaction like Paypal, Paytm, and Freecharge. In Simple words, Bank transactions will slowly replace by the cashless transactions in daily activities.
New 500 and 2000 Rupee Notes
Modi Government has made a few changes in new 500 and 2000RS. note. The color of new 500 Rupee note will be Light Green and 2000 will be available in Magenta (Pink) Color.
There are some Identification Mark will be Provided in Each 500 and 2000Rs. Note.
In 500Rs. Note, In the Back side You can see there is an Image of LAL KILLA (RED FORT) and in 2000 Note there is an Image of MANGALYAN (Mars Orbital Mission Satellite Picture). The size of Note is Considerably Small and Compact with Thinner Density.
See Also :- How to Download Aadhar Card Online at www.uidai.gov.in ?
There will be No chip and Card in the Rs.2000 Note. You can see the New Notes in Given Pictures.
In the Next Post we are Going to Discuss How to Change your Rs.500 and Rs.1000 Note without any Confusion in Mind. So, Stay tune for More Updates.