{"id":25154,"date":"2017-09-03T16:23:27","date_gmt":"2017-09-03T21:23:27","guid":{"rendered":"http:\/\/olduvai.ca\/?p=25154"},"modified":"2017-09-03T16:23:27","modified_gmt":"2017-09-03T21:23:27","slug":"modis-demonetization-called-colossal-failure-that-ruined-economy-as-india-gdp-growth-slumps-to-2-year-lows","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=25154","title":{"rendered":"Modi’s Demonetization Called “Colossal Failure That Ruined Economy” As India GDP Growth Slumps To 2-Year Lows"},"content":{"rendered":"

Modi’s Demonetization Called “Colossal Failure That Ruined Economy” As India GDP Growth Slumps To 2-Year Lows<\/a>\u00a0<\/span><\/h3>\n
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India’s embattled Prime Minister Narendra Modi faced a double whammy of abuse this week as his nation’s economic growth collapsed to its weakest since Q1 2014<\/strong> and India’s Central Bank released a report on Modi’s extraordinary “demonitization” plan last year showing that 99 per cent of the high denomination banknotes cancelled last year were deposited or exchanged for new currency, crushing Modi’s lie that his contentious ‘war on cash’ would wipe out huge amounts of so-called ‘black money’.<\/strong><\/p>\n

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When Modi announced in November that Rs1,000 ($16) and Rs500 notes would no longer be legal tender, he suggested that corrupt officials, businessmen and criminals \u2014 popularly believed to hoard large amounts of illicit cash \u2014 would be stuck with \u201cworthless pieces of paper\u201d. <\/strong>At the time, government officials had suggested that as much as one-third of India\u2019s outstanding currency would be\u00a0purged from the economy<\/a> – as the wealthy abandoned or destroyed it, rather than admit to their hoardings – reducing central bank liabilities and creating a government windfall.<\/p>\n

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