Demonetization: A Step towards Cashless Economy in India

Author:Priyanka Saroha

Abstract:
Cashless economy is considered as harbinger of transparency and economic growth by many economists. Many developed nations have implemented less cash economy in financial transactions. India, however has been largely been a cash transaction oriented economy. Move of demonetization by Prime Minister of India in 2016 has been a significant trigger for transformation to cashless economy. Current study analyzes cashless economy in Indian context with its advantages, disadvantages and hurdles faced by India in adapting to digital mode of transactions. This move has been like a shock treatment for many people in India, as whole economy was brought to stand still for some time owing to lack of capital. Initially portrayed as step to remove unaccounted money, finally it was switched towards implementation of cashless economy. People were forced to adopt a digital means of transactions. In hindsight, it has been a revolutionary move as it will lead to a modern India where transactions will be digital and will be accounted for. Ultimately it will be able to reduce corruption and limit black money and improve financial wellbeing all of each and every citizen.

Keywords:Keywords: Cashless Economy, Demonitization, Digital Transactions.

DOI:

International Journal of Trade & Commerce (Vol: 6 Issue:1)