Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

India Remains a Cash Based Economy
Nov 15, 2016


In the premium edition of The 5 Minute WrapUp on 11 November, Rahul Shah wrote about the reasons why India is a cash based economy. Trust in online payments, security risks, identity and privacy issues, as well as old habits of paying in cash, are just some of things that he mentioned.

The bottomline is that it'll take a long time for India to even come close to a cashless economy. Many nations are way ahead of us. As today chart shows, India trails many developing as well as developed economies (except Japan) when it comes to the use of cash. While some of it will surely be black money, India's informal economy is a vital cog in economic growth.

As per an article on Livemint, the Indian economy's dependence on cash could worsen. Low balances in most Jan Dhan Yojana accounts point to the fact that people in rural India have not got in to the habit of depositing their hard-earned cash savings in banks. Sadly, they are likely to bear the brunt of the demonetisation drive.

Data Source: Livemint

This Chart Of The Day was published in The 5 Minute WrapUp - Share Price or Share Value?

Equitymaster requests your view! Post a comment on "India Remains a Cash Based Economy". Click here!

  

Our Most Popular Charts

India's #1 Trader
Reveals His Secrets

Secret To Increasing Your Trading Profits Today
Get this Special Report,
The Secret to Increasing Your Trading Profits Today, Now!
We will never sell or rent your email id.
Please read our Terms

MARKET STATS