Sentiments and challenges faced with demonetisation in India

Abstract

For citizens of India, it came with the sudden move of the Indian Government to demonetise 500 and 1,000-rupee currency bills during the fourth quarter of 2016. Every class in society felt the effect of demonetisation. As demonetisation took the Indian economy through a liquidity slide, so it is important to study the sentiments of the citizens towards the economic move of demonetisation by their government. Particularly, an economy like India with citizens having high cash-in-hand volumes, it is also required to study the prominent challenges that the citizens faced during the process of demonetisation. Four major challenges that were faced by the public because of demonetisation were identified using the technique of exploratory factor analysis, for which the data was collected from 300 respondents.