Has India's new currency policy worked? - Inside story

Imagine waking up one day and being told you can't use nearly 86% of your country's currency. That is exactly what happened in India last year, when Prime Minister Narendra Modi's government decided to withdraw several large denomination banknotes.

It said it was a way to crackdown on so-called 'black money', which is a term used to describe any earnings from money laundering, terror financing or other illegal means. But a year after that sudden decision, it's not clear if the policy has worked.

Opposition parties organised protests to mark the one year anniversary of the withdrawal of the notes.

So, what's been the fallout for the economy?

Presenter: Jane Dutton

Guests:

Mihir Sharma - Political Economist and author of ‘Restart: the Last Chance for the Indian Economy’.

Jayati Ghosh - Professor at the Centre for Economic Studies and Planning at Jawaharlal Nehru University.

Nalin Kohl - National Spokesman for India's ruling Bharatiya Janata Party (BJP).

[WeFamilyLove]

India was developed nation when the other government was ruling for 6 decades, now it has turned into poor nation. We Indians think about our own progress and not about the country. India will never succeed till its people are corrupt. Hope we learn someday that all religion is same and think about development, else all these political party will use religion to fool people. God save this country.

[ajinkyagadgil]

What is interesting is Al-Jazeera is keeping quite about current actual middle east condition and will talk about everything except middle east tensions which are enough for WWIII.

[dheeraje.d]

Religion of peace not like demonization. They can't promote terrorism 😁

[allyyq]

The lady's points were relevant and I wanted to hear more but she kept getting interrupted...

[aaronthokchom]

I had never expected demonitization to be such a strong weapon that it would lead a lot of frustrations and insecurities to parade out in the open so shamelessly.

[aman]

prime minister Modi has been pioneer in removing corruption from India which was greatly seen during a 60 year regime of corrupt congress party, demonization had devastating effects in black money and money used to support terrorism in India from outside countries . Many people who became rich during corrupt congress government suffered great loss and they are trying to create an outcry while common man is very happy

[Sawanbgmi]

NPA is increased, Unemployment is increases, Growth rate is declined., GDP is come down, foolish Act by PM of India and foolish follower are still try to make the decision is correct while it is totally wrong...And the masterpiece Is GST which is also again a great policy failures...

[vst]

Jayati Ghosh is point on. Demonetization has been a blow to India

[RichardsWorld]

This is a good reason to store your money as gold or popular foreign currencies such as the US dollars or Euros.

[humanbeing]

It was a disaster . We are still suffering . PM still not ready to face press

[utubetruthteller]

Elites sitting in air conditioned room moaning demonetization because they don't like modi but the majority of Indians who are poor and actually stand in the queue actually support the the move because they know in their hearts modi has good intention in fighting corruption.

[lleo]

Professor Ghosh is my hero the BJP is IMF neoliberalism dressed up as Hindu nationalism in the state of Gurajat BJP is posed to get wiped out.

[putrapratama-sqhu]

This is the stupidest policymaking implementation ever...

[SwadIndia]

Congress is now a regional political party....

[imgaurav]

Modi govt has my support. At least he is trying. Congress govt kept silent for years.
Demonetisation was a partial success and a huge success if you talk of medium and long term analysis. This was an important step in formalising the economy which actually worked, adding millions of new taxpayers to the Indian economy. There are many more benefits but the most corrupt party of India, congress can never understand.

[jeevanandama]

no system works in India; as there are corrupt exceptions to any law, scheme, plan, programme and even justice The talk of eradicating corruption, weeding out black money etc are only a lip service. There is nothing called uniform law or level playing field in India; demonetisation did not bring out any black money whatsoever; all big black money hoarders had been pre-informed. India do not treat her people equally; it is not a welfare state; people of different parts of India are treated differently. People's ignorance helps the government to go on.

[gvaanang]

Nope It helped in wiping out small and medium scale Industries and Benefited USA than India, An Unthoughtful badly implemented another Modi Policy....

[vishal]

The people protesting in video are not common public, these are opposition party workers. There was absolutely no protest by Indian public on such a scale, because people are not believing what a highly corrupt opposition is claiming. instead people are watching closely what are the actual benefits of demonitization. Ofcourse there are some demerits of it but benefits of demonitization are over riding the initial difficulties.

[rowbearly]

keep them poor and reliant on the govt. for food...slavery..

[mr.nayeem]

no never only foolish political and criminal mind