Out-of-circulating astute taken by honorable Prime Minister Narendra Modi has transformed the day to day trade and transaction of every Indian and also the effect on the tourists, as old notes of 500 rupee note and 1000 rupee note are not valid anymore for any purpose. Furthermore, as government printing, more Rs 2,000 notes, masses are facing difficulties to get smaller denomination notes, so the government has taken the decision to issue fresh sets of lower denomination banknotes. The Rs 100 notes include 17.5 % of the gross cash in circulation up till March 2016, as per the past figures from the RBI. Data shows Rs 50 comprised 4.3 % of the Gross currency in circulation and Rs 20, that means 5.45 %.
According to NS Venkatesh, Executive Director, Lakshmi Vilas Bank, the small banknotes in flow will release the public from facing the difficulties of the daily payments by households persons, and for huge payments, the person can use the digital channel. Moreover, he states that the Government of India and the Reserve Bank of India (RBI) are on the absolutely right track.
But more importantly, the government has noticed the complexities of the general public and as a result of this, on Sunday The Reserve Bank of India (RBI) announced that it will release new banknotes of Rs 20 and Rs 50 denominations with numerals in ascending order in the number panels and without any engrave printing. However, the old notes of Rs 20 and Rs 50 will remain valid.
As a matter of fact, the issuance of new notes come against the backdrop of the government last month by removing of Rs 500 and Rs1,000 banknotes from the cash flow of the economy to eradicate black money by every means. According to RBI, The Reserve Bank of India (RBI) will sooner issue Rs 20 denomination currency notes in the Mahatma Gandhi Series-2005, it’s characteristics security and design of these currency notes will remain as they are with inset letter ‘L’ in both the number panels, bearing signature of governor, RBI, Dr. Urjit R. Patel, and the printing year will be ‘2016’ printed on the back side of the currency note.
What else to be delineated, the government has put every bit of efforts and tactics to crack down the black money and non-productive activities such as speculation, hoarding that are the hindrance in the growth and development of our country and restrict the nation to compete in the international market as well. Therefore we all, the citizen of India join hands together and support our government to achieve the set goal of circulation of white money.Eventually, we all hoping for the positive outcomes.