Challenges and Effects of Demonetization
In presentation by Anand Rathi Securities group on the
challenges and effects of demonetization, and am summarizing the points
below for your benefit:
b. slowdown in consumer spending due to limited cash availability
c. severe liquidity issues in cash based sectors like Real Estate and Jewellery
d. GDP will decline in the next 2 quarters
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1. Immediate impact: is expected to be negative all round:
a. In the short term it will be a logistical nightmare to manage the cash replacement in banks and smooth functioning of the banking systemb. slowdown in consumer spending due to limited cash availability
c. severe liquidity issues in cash based sectors like Real Estate and Jewellery
d. GDP will decline in the next 2 quarters
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