Demonetization, Politics and Terrorism: An Immanent Analysis

One of the landmark financial overhauls since independence is demonetization and the visible goals it seeks to secure is manifold. Black money coupled with corruption has been one perennial factor that has been hampering the growth of Indian economy for long. Terrorist activities, largely funded through black money, recurrently destabilize the country. The rationale of government behind executing such a drastic policy of demonetization is stated to curb the malicious practice of corruption along with wiping out all the nefarious activities associated with black money. Notwithstanding, there are allegations that the government undertakes such a sudden and radical policy based on some political calculations. One widely deliberated motive about such a move is that the major leading political party in the government at the centre steers a calculative course to reap political gains in the elections to some state legislative assemblies that followed few months later. But an undeniable fact is that demonetization has brought various tangible and intangible impacts not just in the field of economy, but also in various fields. There are also endless debates regarding the modus operandi of demonetization. The present paper seeks to examine some of the major cognizable interfaces between the timing of demonetization and the political backdrops in the country. It also attempts to analyze the observable impacts of demonetization in some core aspects. For this paper, a qualitative based theoretical analysis is adopted.