Demonetisation caused 3 percentage point decline in jobs, economic activity, says new study
new study has found that demonetisation led to a significant decline in
cash, which lowered India's economic growth and led to a reduction in
jobs by at least 2-3 percentage points in the quarter of the note ban.
The paper, 'Cash and the Economy: Evidence from India's Demonetisation',
written by Gabriel Chodorow-Reich, an associate professor of economics
at Harvard; Gita Gopinath, the Economic Counsellor and Director of the
Research Department of the IMF; and Prachi Mishra of Goldman Sachs and
RBI's Abhinav Narayanan, was done to highlight "the consequences of
demonetisation in the cross-section of Indian districts".
study shows that Indian districts that experienced more "severe
demonetisation shocks" had much larger contractions in ATM withdrawals,
and highlights its effects on the Indian economy. It also talks about
the rise of alternative forms of payment options, including mobile
wallets, after demonetisation.
Over 10,000 hotels cry foul and check out as Softbank-backed Oyo booms
Oyo pushes toward profitability, an increasing number of Indian hotel
operators who have partnered with it are complaining about being
blindsided by fee increases. The backlash against Oyo - while limited to
a small share of the more than 10,000 hotel owners in India who work
with it - comes at a crucial time for an emerging-market unicorn valued
at $10 billion and its major investor. Oyo charges hotels a roughly 20%
franchise fee on room revenues when hotels join its network, but some
Indian hotel operators say the startup often ends up taking half or more
of revenues through fees that were not initially disclosed.Don't cut trees for now, says SC; Mumbai's Aarey forest next hearing on Oct 21
Supreme Court on Monday restrained authorities from cutting anymore
trees in Mumbai's Aarey to set up a Metro car shed. A special bench
comprising justices Arun Mishra and Ashok Bhushan said it will have to
examine the entire thing and posted the matter for hearing on October 21
before its forest bench. The felling of trees is being opposed by green
activists and local residents.YES Bank files police complaint over 'fake news' of its financial health
Bank has filed a complaint with the Mumbai Police and cyber cell
against "fake news and spread of rumours about the Bank's financial
health on WhatsApp and other social media platforms". The complaint was
filed in the backdrop of promoters cutting their stake and lenders to
the bank revoking its shares pledged with them. YES Bank requested the
authorities to form a multi-disciplinary team of experts for detecting
the origin of the fake news and assess the short-sell positions, held
either directly or indirectly by such accused persons.
Care Ratings downgrades Patanjali due to concerns over Ruchi Soya merger
Ratings has downgraded the credit ratings of Baba Ramdev's Patanjali
Ayurved due to concerns over its financial standing in light of merger
with Ruchi Soya. The ratings agency has downgraded Patanjali's long-term
bank facilities to A- from A+. Care has also placed the ratings on
"Credit Watch with Negative Implications". Patanjali Consortium
Adhigrahan Pvt - a venture by Patanjali Ayurved - and three other
companies controlled by Baba Ramdev are going to take over Ruchi Soya
Industries for Rs 4,350 crore.
PMC Bank crisis: Fictitious accounts created by lender belonged to dead people, says Mumbai Police
Mumbai Police's Economic Offences Wing have found out that most of the
fictitious accounts created by the PMC Bank to hide the loans advanced
towards the bankrupt realtor HDIL, belonged to dead account holders.
Sources said that the fictitious accounts - over 21,000 - mentioned in
the Advances Master Indent submitted to the RBI in March 2018 mostly
belonged to dead account holders, while some belonged to people who had
closed their accounts with the bank.