1. Inspired by India, Australia likely to demonetise $100 note

Inspired by India, Australia likely to demonetise $100 note

The Australian government is expected to make the announcement in Monday's mid-year budget update.

By: | New Delhi | Updated: December 14, 2016 10:48 PM
australian dollar set to be demonetised, demonetisation of australian dollar, australian dollar demonetisation, dollar demonetisation in australian, australia dedmonetisation Australia’s Revenue and Financial Services Minister Kelly O’Dwyer flagged a review of the 0 note and cash payments in a bid to curb black money. The government is expected to make the announcement in Monday’s mid-year budget update.(Reuters)

Inspired by India’s Narendra Modi government’s recent demonetisation drive to curb black money, Australian Government is now mulling the removal of $ 100 bank note, its highest-denomination. Speaking to country’s ABC radio, Australia’s Revenue and Financial Services Minister Kelly O’Dwyer flagged a review of the $100 note and cash payments in a bid to curb black money. The government is expected to make the announcement in Monday’s mid-year budget update. A report said that former KPMG global chairman Michael Andrew can be appointed to oversee a black economy taskforce. Reports say that entire black money in Australian economy amounts to 1.5 per cent of total GDP.In a conversation with ABC, Ms O’Dwyer said that black money is critical to both – the country as it loses revenue and the those who do the right thing and pay tax.

As per reports, there are currently 300 million $100 notes in circulation. Almost 92 per cent of all currency in circulation is in $50 and $100 notes. However, the likely demonetisation in Australia’s currency will not be an exact replica of Indian model. In India, the announcement was kept secret. However, the Australian government has already hinted about the development. Australia is not only country to follow India’s demonetisation drive.Venezuela had also announced demonetisation days after it was announced in India.

Prime Minister Narendra Modi, in a historic decision, announced on November 8 all 500 rupee and 1000 rupee notes will not remain legal tenders anymore. The demonetised notes are around 85 per cent of all bills in circulation.

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    Arun d
    Dec 14, 2016 at 2:43 pm
    There is no problem of demonetization if the government is very clear about what it intends to achieve and if this is the only way. As long as it is planned properly and you have correct road map for demonetization AND remonetisation there is absolutely no issue. Mess in India is because of poor planning and shabby implementation. Intention was good.
    Reply
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      Amisha Yadav
      Dec 14, 2016 at 2:31 pm
      Are you people sure about Indonesia opted for demonetisation? Becuase when i found it, it wasnt available.
      Reply

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