On November 8th, 2016, Prime Minister Narendra Modi announced that 500 and 100 rupess notes will be of no value. It created so much tension in the minds of common people. The whole India was in long queues to exchange their demonetised currencies with newer ones. The Government mainly aimed to cease the flow of black money in the market. The Government even thought of bringing back these black money in the main stream market, thus helping economy to grow. The countrymen also supported the initiative even though facing a lot of difficulties. But the corrupted people always remain a step forward. Most of the corrupt people destroyed the demonestised currency rather than returning it back to the Government (RBI). So things didn't happen as per Government's plan. But still it can't be said to be a failure.
Many Indians hesitate to deposit their money in banks. They used to keep money in their house. But after demonetisation this scenario changed. The countrymen were bound to deposit their money in banks. As a result, the banks got more new customers and their net cash flow also increased. Since many people started depositing their money in banks so digital payments option became a hit. The country then witnessed the power of digital world. Even if a person don't have any liquid cash to make payment he/she can easily pay money with a click.
The main objective of demonetisation was although not accomplished but it helped indirectly to make the country digital in terms to payment.
