Demonetization is a buzzword in India today; tune in to an India news and I will probably hear the word “demonetization” about a 100 times in 15 minutes, followed by rumors, comments and suggestions. So, today, in this article, I’m presenting my views on this topic and trying to portray a bigger picture in front of you by dwelling a little bit into the history of India. I welcome your views and thoughts on it.

4 decades ago, in 1969, Mrs. Indira Gandhi, the then Prime Minister of India, decided to nationalize the Indian private banks. Following this move, critics attacked her, calling her approach pro-poor and anti-rich. When the after-effects, similar to today’s cash crunch, erupted after the bank nationalization move, critics criticized her, saying bank nationalization should have been planned better; bank nationalization should have been restructured to have one/two central banks and several regional banks.

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