On 8th November 2016, 8 p.m in the evening Prime Minister Mr.Narendra Modi shocked the nation by announcing demonetization from the next minute the note of 500 and 1000 are considered to be illegal and the following notes will be replaced by the different notes with different color and designs.
Demonetization Modi’s Brave Step
The actions of our PM Mr. Modi by banning the notes was an attempt for extracting the black money from the nation. This is the second-ever attempt made by any Indian PM for extracting the black money. The first ever demonetization was done by our 5th Pm of India Mr. Morarji Desai. The actions of our PM Mr. Modi had created a lot of havoc and trouble for the nation.
Well, by standing in the queue outside the bank has tormented the local public. The demonetization not only had an impact on the masses but also on the economy of the nation. In the second half of the financial year from October 2016 to March 2017, the GDP growth crashed by 0.5%. This resulted in the GDP growth to drop from 6.4% to 0.5% in six months.
Impact on Economy
Further estimations by the economists are that in the quarter year which we are in right now will lead to the negative growth till December and it is also estimated that there will be a rise in the national income from the year 2017 to 2019. This disruption would lead the GDP growth of 2017-18 to 5.8% from their earlier estimated 7.5%.
Impact on People
The move which our PM Mr.Modi took will make the economy stable and help the nation get rid of the black money but it is affecting the middle-class people. While the local masses are standing in line for exchanging their cash for about six to seven hours each day and the upper class is engrossed in investing their money and considering it as their legal income.
The Smart Move
Mr. Modi made a smart move to curb the black money but it also led people becoming bankrupt and costing their lives. The demonetization had set limitations to the masses for withdrawing their own money from the ATM.
Thus, demonetization had created a lot of problems for the masses but I am sure that it will ensure a better future for our nation.
- : no