India’s 2016 demonetization aimed to reduce corruption and promote digital payments, but cash remains vital.

Despite a surge in digital transactions, the use of physical cash grew by 16.6% in 2020-21, posing a ‘currency demand’ paradox.

Indians still value cash for emergencies and major purchases. Real estate deals and political funding also contribute to its persistence.

This mirrors a global trend, challenging the expected decline of physical cash in the digital era. For many, like auto-rickshaw driver Atul Sharma, cash remains indispensable.

Source: BBC.

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