Friday, November 25, 2016

India - current currency challenge

Being in India is these days very hard.
People, even having savings, could bot utilize them to buy anything. 80% of economy is cash based. And from this 80% it is estimated that 80% was in 1000 and 500 banknotes. Therefore 64% of all Monetary M0 is gone. 64%!

Please understand.

Normal bank charging 10% interest rate will need to turn over by this step just lost 640% of the cash flow!

This is a huge step.

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