India's 2000 Rupee Currency Shuffle: A Déjà Vu with a Twist
In 2016, anger had surged in India as banks grappled with the task of dispensing cash following the government's sudden decision to withdraw high-denomination banknotes. The government had claimed that this demonetisation measure aimed to uncover significant amounts of undisclosed wealth. However, the announcement sparked frustration among the population, as hundreds of thousands of people endured lengthy queues outside banks, hoping to exchange their 500 and 1,000 rupee notes. The objective behind this action was twofold: to combat the prevalence of unaccounted-for funds, commonly known as "black money," and to tackle the circulation of counterfeit currency. Now, seven years later, India is poised to undergo another currency transition. The central bank recently announced its intention to phase out the 2,000 rupee note from circulation. This decision draws parallels to the demonetisation event of 2016 when the government swiftly removed 86% of the country's currenc...
