The world's seventh largest economy has suddenly become a petri dish for monetary experimentation towards the end goal of bringing about a cashless society.
Beginning in November of last year, Prime Minister Modi banned the two largest denominations of their currency, causing utter havoc as 1.3 billion people scrambled to exchange their bills before a December 15th deadline. This move was then quickly followed by capital controls which only allowed individuals to take out the equivalent of $60 per day from their bank accounts.
Then earlier this week the Modi government began compiling a study to create a universal basic income for every citizen in the country. This of course would force everyone, even the several hundred million who don't have access to the internet, to become part of a cashless financial system.
And finally on Feb. 1 a member of Modi's finance office submitted a proposal that would make it illegal for individuals to use cash for purchases and transactions larger than the equivalent of $4500.
India's war against black money has led to several new policies and orders of late, one of which was announced by Finance Minister Arun Jaitley on Wednesday in his Union Budget presentation in the Parliament.
The country has banned all cash transactions above Rs 300,000 (roughly $4,500) from April 1.
This move follows last year's ban on high-value currency notes that had sucked in 86% of the cash in circulation and sent India's 1.3 billion people into a collective frenzy. - AOL Finance