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Modi’s ‘Masterstroke’ Cash Ban to Boost India Digital Push

  • Payments companies’ growth seen doubling over next few years
  • Tackling graft key for Modi before key elections through 2019
Bloomberg business news

India Pulls Big Bank Bills in Corruption Crackdown

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Cash may no longer be king in India. The nation’s nascent digital economy stands to be the biggest beneficiary of its strongest crackdown on corruption since 1978.

In a surprise announcement late Tuesday, Prime Minister Narendra Modi banned 500-rupee ($7.50) and 1,000-rupee notes effective midnight, sweeping away 86 percent of total currency in circulation. Paytm, India’s largest digital wallet startup, hailed the move in the morning newspapers as it splashed Modi’s photograph in a full-page advertisement.