India's Cash Gamble: Has it Paid Off?

In the Balance

Has the shock decision to scrap almost all of India's cash been a success or a failure? Last November's withdrawal of 500 and 1,000 rupee notes caused chaos for millions of people and businesses, but now the dust has settled, is there any evidence it was effective in tackling corruption and curbing the black economy?

Have those hardest hit by the demonetisation now managed to recover? What impact, if any, has the move had on India's economy? And in a society where cash is king, are there any signs people have been pushed towards using bank cards or mobile payments?

Contributors

Jayati Ghosh, professor of economics at Jawaharlal Nehru University, in New Delhi Economist Lord Meghnad Desai Gaurav Daga, owner of Oswal Cable Products in New Delhi Piritta Sorsa, head of economics research on India at the Organisation for Economic Co-operation and Development (OECD).

(Picture: A man holds old Indian notes at a protest against demonetisation in Bangalore. Credit: Kiran Manjunath, Getty Images)