Instead of media ,chat shows, TV debates; Street debate matters, so I debated it on street, shared my views, people appreciated, thus I shared it here.
So as a matter of fact, We all are experiencing, facing after effect, crisis of demonetization- somehow whimsical decision, the unplanned, unprepared strategy of the Govt. It was declared in the hour of midnight as if it’s a war emergency! Without doing the sufficient replacement arrangement, stock, standby support ,the decision was taken. So how to feed or food for about 125 crore people matters or how some corrupt people will come out of their hide, it’s the chief focus.
To a possible extent it’s a move against the corrupt. But it’s not the right way perhaps.
The prime thing or very core thing of this issue is high denomination notes and stopping any sort of corruption. It’s like when the thief is in your house, how you’ll prevent robbery. High denomination & corruption both have relative importance, one is born for another, mutual dependence, it’s like cloning, the kind of twins- if one gets hurt another feels the pain, hide & seek play, inseparable; Matter (real, actual)without shadow, substance never exist, in light the shadow smaller, in dark the shadow bigger, however intimate not anti-parties.
Here I’ve tried to present it in a simple, general language as per very common man’s understanding ;
If we go through hard copy back up of ATM machine transactions, the records/receipts collected at the day end, available with the cash loader/ATM dept. of bank, then we used to find maximum percentage of people withdraws smaller amount in a day from their respective account. On an average, very few people in a day requires bigger amount due to different reasons. It’s the chapter of common man and practice of Govt. undertaking bank A/c holders & mainly service class, general people.
In India the office goers are more in nos. than the business doers. If someone opts for 1000 Rs., and if 500 & 100 Rs. denomination available with the machine, then machine will dispense one 500,five 100’s, i.e. 6 notes. But if the denomination is available in only 100’s,then ten notes will be dispensed from machine. The usual happening- Six notes definitely occupy lesser space in a wallet/money purse or in his pocket in comparison to ten notes ; keeping six notes is convenient whereas keeping more no. of notes in pocket or purse feels bit awkward, not that convenient. It seems very casual, ordinary thing but here the answer lies.
This inconvenience betters his financial standard, strengthens the national economy, and resists the corruption. So ten notes awakens his conscience, makes him more conscious; that I’ve withdrawn ten no. of notes as 1000 Rupees. ‘Then today I shouldn’t withdraw more,let something for tomorrow’. The bottom line psychology of a common man. That way his A/c balance will be maintained better. If his a/c status is better, then his future is better secure; definitely it’s a good news & benefit to bank. More or less we know how bank rotates & generates money. So it better builds up national economy. Self consciousness is the national consciousness. So self-awareness or discipline go always with the national interest. If denomination is higher, then Packing & carrying is easy always, and it waters & grows the corruption only. So better things can happen with the lower denomination not with higher denomination. There’s no doubt of it, to a great extent lower denomination will prevent corruption.
After the establishment of ATM system, because of self withdrawal comfort, flexibility of ATM machine, money withdrawal put people into a wrong habit, practice; somehow unnecessary, careless, irresponsible. Withdrawal was never so easy! Because of lower denominations not available with the machine and to avoid going bank to save time, many times withdrawer become bound to withdraw 500 Re. note even if he requires 100 Rs. Unreasonably he spends more (even if it’s not a necessity), when he takes more (even if it’s out of compulsion). Then higher denominations are never a blessing to common man, it’s not successful at a common man. If it’s not for common man, then why to print, for whom this fashion is!
It has one aspect to look into, Note value- 5 is to 1, 5 no’s of 100 Re. is equal with 1 no. of 500 Re. Similarly Note printing cost is less. If denomination is 100 Re., we’ve to print 5 nos. of note, whereas we’ve to print only 1 no. note incase of 500 Re. denomination; Paper & Printing cost much lesser. But we can’t say exactly it’s 5 times lesser, as it’s a printing & press fundamental, and time is also saved. So lesser the denomination printing cost, labour & time consumption will be more(from many aspects) and it’s vice versa when higher the denomination. So lesser no. of trees need to cut, it’s a subject of ecological importance. But if it’s reverse,1:5,i.e. if we print, 1 no. of 100 Re.,5 nos. of 500 Re., then where’s the saving? Printing of 500 Re. note more in nos., rather expensive-size, design(from many angle). Then surely it invites greater trouble like corruption.
So we’ve to check the profit & loss a/c, i.e. Govt. need to do a comparative study of corruption & printing related expenditures. Here my suggestion is, we can try paper alternative/paper like feel for note printing.
Higher denominations also benefits banks & financial institutions, those who are into the activities of transaction. It saves their time, labour, while facilitating the customer by different means; at banks, at ATM, establishment expenditure, currency stock arrangement, cash carrying & loading at ATM, so many types of banking conveniences are there. One official of SBI ATM dept. once told me that one ATM machine’s capacity is 20 lakhs, i.e. 20 lakhs can be loaded at an ATM machine. If it’s, then it must not be of a single or same denominations. So higher denominations are helpful to the banks in many ways.
Now in place of old 500 note, new 500 note is launched; banned 1000 Re. note, coin of 1000 Re. issued in place of that. How a 1000 Rs. coin will be convenient to use, and duplicating a coin is more easy. Personally I don’t find coins are convenient to carry & use. Many countries have coins, but of very smaller denominations. But it didn’t stop here.
Bigger & higher denominations are now offered, newly Rs.2000 note issued, and 5000 Re. is supposed. Now, new notes are smaller in sizes in comparison to its previous size. It has another advantage, it’ll occupy less space, now it will be more easy to pack & carry the corrupt money. what all these mean? Now corruption will go better with a new look, new shirt. It’s like prize winners got fooled with brass polished old cup ! Instead of administering anti dose or strict lessons to the corruption, it’s becoming more friendly! Simply it’ll smoothen, patronize, encourage, make better ways for corruption for a better styled cat walk, red carpet welcome, nothing else! So where’s the solution?
How it’ll stop corruption and will benefit the public? Such higher denominations better helps the corruption, boosts it, reenergizes it. What’s going on in this country? Govt. can impose anything on public, whatever they decide! In the Yr. 1954 high denomination notes like 1,000,5,000,10,000 were issued. But it was proved a failure. The Rupee 500 note was introduced in October 1987. We always find it easy to use lower or smaller denominations while doing ordinary purchase, at the vegetable vendor’s kiosks, ordinary grocery shop, for day to day common needs. The living standard of Indian household is middle class. So it’s the same old game, Badshah-Begum-Gulam.
Why India needs bigger, high denomination notes? For whose interest exactly! Lower denominations are convenient for general use or higher denominations are? Then where it’s used, who uses this bigger notes? Definitely big businessman, industrialists, politicians, high officials, big sort people of different fields; any corrupt mind people use it for thir illegal purpose, then high denomination supports and promotes the corruption. So, high denominations are unnecessarily imposed on public.
In previous years, higher denominations are printed/issued greater in nos. in comparison to lower denominations in India. Then definitely it favours corruption, not deters it. In America, 100 $ is the highest available denomination. Then we’ve not learnt anything from this developed countries, Greater Economies! How they got prospered ?
Recently militants killed in an encounter, new 2000 Rs. launched by Indian Govt. found with those terrorists; but nothing to surprise, when Indian people are in need of notes, facing currency shortage. See from the post independence history to till date, Duplication, currency counterfeiting are always there in a parallel run while resembling & fooling the original one, whatever strategy we’ve taken, safety, security we’ve made; that has not been stopped yet. As if keys are made when locks are made, or locks are made with keys.
If we see the corruption statistics, then the rate of corruption has been increased with the issuance of high denomination notes. Time is not the culprit, which did the pollution, that gradually with the time people became of more polluted mind; No, rather it’s the comfort, opportunities by different means, what people got with the time, made people more immoral, unethical.
Indian political parties think they can make public fool whatever way they like, it’s a democracy or what, there is no such provision in our constitution to take views directly from public, before taking any national decision! if there’s no such provision in our constitution, then constitution need to be amended, when it’s not in the nation’s interest. If single or few person raises voice then they get dominated. What kind of democracy it’s! After decision & implementation, you ask views to share, another fooling game! And parliament representatives have their own views not public views.
DECLARE SELF PRADHAN SEVAK, INSTEAD OF PRADHAN MANTRI IS NOT ENOUGH, i.e. not required even, only work matters. It happens again & again because the very imp. thing Indian people don’t understand their citizen, civic, public responsibility. Indian people rarely do proper protestation for their rights, they suffer, but easily they don’t go to do any protest. There’s a saying, ‘Either you protest or you’ll be perished’. In a democracy only public can bring change. Moreover Indian people are godfather believers, followers. Due to such psychology, Indians are always the looser. India faces more loss. People’s careless think, ‘Apne baap ka kya jaata hai, toh sabke baap ka jaata hai’. When political parties come to power they think, that it’s our hierarchical legacy.
Common men dosn’t have problem with any particular political party, but it’s the suffering, inconvenience, caused due to different political entity or decision. Why nation should suffer for any political party’s wrong decision? Political parties have no right to put the Nation in danger. Not to get ruled, so we don’t want rulers. There are many imp. issues to attend in this country instead of implementing or exercising higher & higher denomination notes, but as if Govt. is trying to divert public’s attention from those topics. It’s like one political party is zealous of another political party. National decision should not be taken in such mindset. Also lastly I say, it may not be a deliberate decision of the Govt. to put the country in loss but the loss happens. People died because of such wrong move of the Govt.
In common man’s view, Higher denominations are never helpful to the common man. So here is the answer to Demonetization.
Please find attached different countries available Currency denomination and RBI’s issuing rate of different denomination in different years (Source: Reserve Bank of India).
By Nihar Ranjan Parida