Slide 1

Current currency problem

As a developing country, India face a big financial problem during the end of the year 2016 due to currency ban. Our Prime Minister Narendra Modi announced the shocking decision about high valued currency on 8 November 2016. the banned currencies are Rs 500 and Rs 1000. this decisions sometimes destroy our economy by slow growth rate.

Aims of currency ban ; To prevent black money. To prevent corruption. To prevent terrorism.

worst effects are: Firstly it effects common people, like small farmers, traders, labours etc.Adversely effects production and distribution. Reduce employment opportunities. Badly effects primary-secondary-tertiary sector. Reduce growth and development Of the economy. Mostly it effects village people. Over load to the banking sector.

Positive effects ;Deflation due to less currency in circulation. Rise the value of Indian currency. Reduce black money.Low rate of interest. Cash less transaction. All financial transactions are recorded.Tax revenue is increased.Currency ban reduces anti social activities.Reduce the values of land,building,commodities etc

Modi government takes some measures to reduce the current currency problem;

Most of the people are firstly criticize the decision of money withdrawal. But then they realize that it was a good decision to prevent corruption and black money. The decision mainly effected by common people, but the real thing is that the benefits is mainly for common people. The objectives of modi government are satisfied, then we can see a good developing nation..

Thank you