What nobody is talking about here, is that this step also aims to hit hard on the fake currency [0] industry in neighboring countries, specially Pakistan and Nepal. The new dimension and design of the note is to make the printing machines in these illegal mints obsolete. It's no surprise that the 2 month long 'agitation' in Kashmir came to a screeching halt this week. This step hits funding of terrorism in India hard, at least temporarily.

[0] http://thediplomat.com/2016/11/indias-fight-against-fake-cur...