Friday, 30 December 2016

Demonetisation will transform Indian economy: RBI governor -The Total Investment & Insurance Solutions

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30 December 2016

On the eve of the deadline for citizens to deposit demonetised currency in banks, Reserve Bank of India (RBI) Governor Urjit Patel said that demonetisation will have a transformative effect on the economy going forward, despite some short-term disruptions and "public hardship".

"The withdrawal of specified bank notes will impart far reaching changes going forward. It is expected to significantly transform the domestic economy," Patel said on Thursday in his foreword to the half-yearly Financial Stability Report. The Total Investment & Insurance Solutions

He said the increasing adoption of digital modes of payments will lead to greater intermediation, efficiency gains, accountability and transparency. The Total Investment & Insurance Solutions

Patel acknowledged there have been short-term disruptions and hardship to the public because of the demonetisation of high value currency. The Total Investment & Insurance Solutions


On the domestic macroeconomic front, condition remain "stable" with a cool-down in inflation, the RBI Governor said, adding that the growth momentum has "slackened" recently.The Total Investment & Insurance Solutions

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