A study on rural inclusive growth: With reference to demonetization and cashless economy

Abstract

Inclusive growth is a strategy to develop economical backward rural areas where the growth will be achieved through
certain instrumentalists so that the benefits reach the largest section of the society and that the maximum number of people is able
to derive benefits from the developmental activities. The Appropriate Technology is considered to be a key-enabler to achieve
sustainable livelihood, reduction of drudgery and improvement of quality of life for the underprivileged section of the rural
masses, within the limited natural and financial resources, at a lower cost and with less impact on the environment. By banding the
Rs.1000 and Rs.500 notes it leads to multiple issues with one stroke. Most importantly, it has straight away wiped out most of the
illegal cash and Counterfeit currency accumulated over a number of years from the system, and also it paved the way for
implementing cashless or less cash society in the medium to long run. While India has come a long way from introduction of
electronic funds transfer, the newer forms of payment have been developed in the recent years which hold significant potential to
move towards a cashless economy; really it is a great boost for digital India, Multinational companies and Business centers which
are excising in urban areas. The demonetization of higher valued notes and cashless economy are Siamese twins and they cannot
be separately achieved. but the Demonetization and transferring from Cash to cashless/less cash economy should be achieved in
the phased manner and step by step process instead of forcing it on people overnight without expanding/providing banking
infrastructure like rural banking, rural ATM’S and Swiping machines to every nook and corner of the country, internet
connectivity with high speed at cheap rate and unbroken power supply.