With no banks, no ATM, no shop to receive two of the highest denominations, India can experience a monetary bandh on November 9. With the disappearance of Rs 1000 and Rs 500 notes, 83% of India’s currency note value in circulation are withdrawn. According to the RBI, Rs 1000 and Rs 500 notes account for 83% of the total value of notes circulated in the economy.
Inconvenience will be prevailing on transaction front though government has made several arrangements including acceptance of the notes for important purposes.
Some of the issues and timing will make the government’s good effort more painful for the public.
An example is that after an off day for banks and ATM on November 9th, other two days in the week -Saturday and Sunday are holidays. This means that between Wednesday and next Monday, there will be only one working day for banks – that is Thursday.
Banking industry may be less prepared to meet the situation in a contingency manner when it returns to business on Friday. Another difficulty is that most of the high value transactions may get blocked with the disappearance of the two highest denomination notes.
Day of celebration for card based transactions
But one section will not be affected by these disorder -people who are using cards. November 9th will be a day of celebration for cashless transaction economy. Companies like Paytm and mobile wallets will rule the street.
If one is going to the streets to get the feel of the event, he can get something to tell to the next generation. Whatever may be the inconveniences for the people, if the government can destroy the counterfeits, it will give value to the sacrifices of the people.