People holding cash for emergencies rather than for transactions: SBI report

People can have up to Rs. Rs 3.3 lakh crore cash for emergency purposes due to the Covid-related dislocation in their income expectations, estimates SBI. This factor can cause the increase in cash to GDP ratio to be misleading. If one adjusts for emergencies, the cash-to-GDP ratio may be lower than the pre-demonetisation level. “Our … Read more

We have become a less cash economy: Chidambaram takes a dig at the Center

Senior Congress leader P Chidambaram on Friday hit out at the Modi government over demonetisation, questioning its objectives and pointing to a “growth” in cash circulation. “What is the status of Modi government’s lofty announcements five years after the infamous demonetisation,” he asked on Twitter. Five years after the infamous demonetisation, what is the status … Read more