Narendra Modi’s Demonetization of Notes is Nothing but a Complete Failure

Prime Minister Narendra Modi’s sudden announcement on the demonetization of Rs. 500 and Rs. 1000 notes, on November 8, 2016, at 8 in the night, is a complete failure and the annual report of the RBI released a few days ago proved that once again. The idea of the demonetization of currencies was certainly a bad idea and the repeated failures are pointing at that failed approach of the PM.

Immediately after the declaration of demonetization of Rs. 500 and 1000 notes, the economic experts had expressed some worst fears the chances of which were there to come true and unfortunately, those worst fears are turning true with time now.

The thing is that the goal and objectives keeping in mind which the demonetization was announced got changed and shifted from time to time. In the end, it could be seen that the original objectives were something else and are forgotten completely. This marks the utmost failure of the demonetization motto.

As per the latest annual report of the RBI, 99.3% of the demonetized currency has come back to the RBI. If compared to the notes in circulation on November 8, 2016, the demonetized currency which has not been returned is only Rs. 10, 720. Another shocking factor is that the Indian currency in circulation in Nepal has not yet been accounted for. Moreover, the demonetised notes deposited in the district branches of the central co-operative bank too are not accounted for. The much conflicting issue is that a whopping amount of 745 crores was deposited in the district co-operative bank of Ahmedabad within the first five days and the President of BJP is a director in that particular bank. When all the demonetized notes were exchanged in the bank in those five days, the RBI later withdrew the facility of changing the notes in the district co-operative banks all of a sudden.

The evils about which the Prime Minister mentioned in his speech delivered to the nation on November 8, 2016, such as corruption, black money and terrorism are still going strong in their particular places and the demonetization of notes hardly could do any harm to them. Does not this make one thing very clear that the Prime Minister is a total failure and his demonetization of notes is a failed mission!