8TH NOVEMBER 2016 DEMONETIZATION - THE RISE OF ELECTRONIC PAYMENT SYSTEMS

On 8 November 2016, the total world came to know that the Prime Minister Mr. Narendra Modi announced the demonetization in an unscheduled live televised address at 20:00 (IST) on 8 November the demonetization of Rs.500 and Rs.1000 banknotes would be invalid, and announced the issuance of new Rs.500 and Rs.2000 banknotes of New Series in exchange for the old banknotes with a deadline for exchange and the problem evolved for physical cash availability that became an issue and its impact is felt by every Indian citizen. As majority i.e. 78% of consumer payments in India are made in cash and most of the currencies used were Rs.500 and Rs.1000 for transactions, and to overcome this problem Government of India found out various regulatory and infrastructural reforms to create a favorable atmosphere for electronic payment systems. This paper focuses on the study of providing a comprehensive overview of overall development of Electronic payment systems impact, challenges and outcomes.