DEMONETIZATION IMPACT OVER BANKING LOANS & ADVANCES-A CASE STUDY

• Main Author: Neralla NARSAIAH
• Format: Article
• Language: English
• Published: Bucharest University of Economic Studies 2019-03-01
• Series: Business Excellence and Management
• Subjects: demonetization; economy; banking
• Online Access: http://beman.ase.ro/no91/2.pdf

The demonetization footstep by the Government of India twisted complicated influences in the economy. Complete sectors of the economy had faced and produced mixed sensation results over the decision of demonetization. India’s financial services struggled with demonetization; on the other hand, demonetization affects utmost over the banking sector because it is substantial influenced services to transform money circulation in an Indian economy. Eradicating components of currency notes from circulation in an economy is demonetization. It is as the processes of components of money are denied the status of legal tender. Consequently, ceased currency notes will not be account as valid currency in an economy. The term ‘demonetization’ is an instrument to shrink Inflation, Black Money, Corruption and terror funding, this step discourages a cash dependent economy in India. Government of India drive towards demonetization has given a strong push to the popularity of digital banking and made helps with the alternative arrangements of e-banking and e –wallet to trade and commerce. Exploring the demonetization emergence in an economy and impact on banking services ecosystem dynamics, this study take an abductive approach anchored in over 4 years of case study data regarding. The present study foremost intention is to be analyzing the demonetization impact over banking loans and advances. In this regard the present study is to be examining the pre demonetization and post demonetization period.