Has there been any studies of Modi’s allies’ cash flows. It would be interesting to see if there was an uptick in connected people converting rupees to real estate, foreign currency, right before the cash crackdown was announced.
Central bank data shows 99.3% of the demonetized notes were exchanged; there was effectively zero "dirty" money destroyed via demonetization.
1. Cash in Bhutan and Nepal where indian currency was widely used. 2. NRIs who legally held INRs but the cost of exchange was too high 3. Residents who have loose cash lying around - under mattresses, long forgotten jeans and missed the deadline for exchange.