Demonetization: A brilliant move towards a Digital India...!

Indian Prime Minister Narendra Modi dazzled the entire nation with his sudden movement towards ‘Demonetisation’. The decision to demonetise the 500 and 1000 Rs. currency note is one of the foremost steps towards the annulment in black money and corruption both issues in India. This decision has increased cashless transactions. People are aimed to force through different online payment apps. There is a progressive use of online banking and payment mediums to handle the daily expenses. With projects of, financial inclusion, digitalisation of the economy, and expanded utilisation of advanced smart phones, online transactions are prevalent among the Indian commons.

DIGITAL INDIA AND DEMONETISATION

Digitalisation has been a noteworthy challenge in India, as many of us have favoured executing in real money instead of using plastic money. With the demonetisation, various digital payment solution providers have come up with ingenious approaches to pull in new clients. These digital wallets not just help in paying bills, but also empower payments at nearby stores already enlisted for these kinds of services. The significance being mobile wallets like Paytm, Mobikwik, FreeRecharge witnessing a huge expansion in app download figures, and Ola Money sighted a massive increase in wallet recharges.

Linking Indians through digital media has been further revitalised by this proceed on the part of the government. The m-wallet (portable wallet) segment comprehensively comprises of services related to banking transactions, exchange of cash as well as value-added services like bill payments, shopping, ticketing, and so forth. Of these services, m-wallets are principally utilised for the money transfer trailed by the payment of bills.

ROLLING NUMBERS

MobiKwik, having 35 million clients, said there was 100% growth in customer numbers day-on-day. Chillr, the mobile payment app already having 2 million downloads and promoted by HDFC, has seen an increase in application use and downloads. PayU’s computerized wallet business, which has more than 30 million users, saw the amount of wallet burdens rise two times in the initial two days. Paytm, the biggest Indian mobile payment wallet with more than 100 million users and 2 million transactions a day, saw an increase in the app downloads and payments for offline transactions in the initial phase of the demonetisation declaration. It included one million new spared credit/check cards in two days – cards that are utilised to refill the wallet. Amazon affirmed that it is suspending COD requests while Flipkart’s site says that cash orders above Rs 2000 are not empowered and has been requesting that clients choose another payment option.

Cabs services, Grocery Stores, Big Basket, Amazon, Snapdeal, Flipkart, ebay, are going digital and the list is endless now. If you stroll into a McDonald’s or Cafe Coffee Day or Shopper’s Stop today, you can utilise a digital wallet on your mobile to pay for your purchase. To surmount the challenges posed by the currency ban, offline retailers are giving their consumers numerous payment solutions and alternatives to avoid interruptions in purchases. As Indians are getting used to digital money, their trust in anything on the online and mobile will get a major lift.

Tea stalls are using Paytm. Ola Cabs have come out with an option of Ola Money. This is beneficial for common man at this point of time when there is crunch of change.

Lack of proper infrastructure was the major obstacle for the vision of Digital India which has been cleared to the maximum extent with the launch of 4G internet. Mobile is becoming the point of purchase and sale which will lessen up the digital divide between the rural and urban India along with drawing the population into the financial inclusion. Demonetisation is the best thing to happen to India’s emerging online finance industry and haul its obsolete economy into the 21st century. Three cheers for a bold and game-changing action.

Analysis of Demonetization’s Impact in India...!

The sudden move to demonetise of Rs. 500 and of Rs. 1000 is not new to the Indian economy. Rs 1,000 and higher denomination notes were first demonetised in January 1946 and again in 1978.The highest denomination note ever printed by the Reserve Bank of India was the Rs 10,000 note in 1938 and again in 1954. But these notes were demonetised in January 1946 and again in January 1978, according to RBI data.

Last month on November 8, when the whole world was waiting for the outcome of US presidential elections, Prime Minister Narendra Modi came out with his master stroke on corruption, counterfeit currency, terrorism and black money by announcing demonetisation and ceasing Rs 500 and Rs. 1000 notes as a part of legal tender in India.

The Reserve Bank of India manages currency in India and derives its role in currency management on the basis of the Reserve Bank of India Act, 1934 and a new redesigned series of Rs 500 banknote, in addition to a new denomination of Rs 2000 banknote is in circulation since November 10, 2016.The new redesigned series is also expected to be introduced to the banknote denominations of Rs 1000, Rs 100 and Rs 50 in the coming months.

Since less than 5 percent of population in India had access to such notes and most banks never had such currency notes, demonetisation did not have a big impact on the country. The decision was taken to curb the illegal use of high denomination currency which was used for corrupt deals in the country.

However, with the latest round of demonetisation, the common public and bankers are undoubtedly facing hardship since more than 85 percent of currency in circulation has been rendered illegal in one single stroke. Demonetisation is surely hampering the current economy and will continue to do so in the near term and will also impact India’s growth for the coming two quarters but will have positive long lasting effects. The question that arises is why demonetisation was required at this point of time.

One of the biggest benefits of this move is that it is going to drastically affect the corrupt practices. People who are holding black money in cash will not be able to exchange much as they would be in a fear of getting penalised and prosecuted by the authorities. Enemies of the country which are involved in counterfeit currency and terrorism will not be able to continue it further for quite some time at least. The smuggling of arms and dealing with the terrorist will not sustain further as all of the money will be on record now.

Secondly, the banking system will improve as it will slowly head towards a cashless society. Cashless society will increase credit access and financial inclusion. The existing white money of people will be known to the government and it will remain with banks so that it can be put on loan, and interest can be generated from it (though interest rates would fall) with a corresponding fall in Inflation.

Further Banking System will get a boost, as more than Rs 7-8 lakh crore base money (new legal money) will enter the system. However, it needs to be seen how much money actually remains in the system, once the cash withdrawal limits are eased. Thirdly, it will reduce the risk and cost of cash handling as soft money is safer than hard money. It will also reduce government liability. Since every note is a liability for the government, the old currency will become worthless for those people, who choose not to disclose their income.

Thus, this will extinguish government's liability to that extent. It is expected approximately Rs 5 lakh crore may come to the government in the form of extinguished RBI liability, taxes and penalties. This amount is enough to take care of India's entire fiscal deficit for one year or more. It will also reduce tax avoidance. Whatever money will be deposited or exchanged, authorities will keep a track of it and they will be extra cautious in this period.

 Search and Seizure activities of the IT Department will also rise to curb such malpractices. Limits have already been prescribed for reporting to the IT Department those bank accounts in which excess cash deposits are being made in this 50-day window (Rs 2.5 lakh in case of individuals and Rs 12.5 lakh in case of firms). Importantly, in the longer run, tax and interest rates on loans are expected to come down as higher income tax collections arising from better compliance would offer scope to reduce rates over the long term. This, in turn, will drive up disposable income. This can give a positive impact on consumption demand in long term.

 India is certainly going to experience "Acche Din" in Modi's regime. The decision of this surgical strike on black money was not taken in a day or two. Rome was not built in a day and similarly, this plan is the result of Prime Minister's meticulous planning and never ending fight against corruption. As a result, he has successfully made the right stroke at the right time. Further, the penal provisions are hefty enough to ensure that corrupt practices will find it hard to take roots again.

 Despite certain short term troubles, demonetisation is certainly going to give a boost to the Indian economy in the long run. As of now, all of us should stand and support this bold move of our Prime Minister and help those needy, around us.

5 things to learn from Demonetization...!

Demonetisation surely taught us how one could live life curbing expenses and be able to save money in such situations. If this could be practised in one's everyday life and the savings could be properly channelised into good investment options then achieving financial freedom would no longer be a far-fetched dream.

1. Don’t wait for a crunch to budget or spend wisely:

The first consequence from demonetization is also the mainstay of every financial plan: save and spend according to a budget. During the current crisis, people have been forced to take care of their critical expenses, investments and bills, before considering discretionary expenses, while entertainment and demented purchases have been completely done away with. The restricted inflow of cash means that saving has become a priority, as does sticking to a tight budget. While one need not restrict one’s finances to such an extreme in the normal course, it is this forced discipline of budgeting and prioritizing one’s spending that will help you reach your financial goals with ease. So have a healthy dose of discretionary expenses, but not before you have saved and invested.

2. Don’t grasp too much cash; invest it

If you’ve been keeping back money at home to fend off an emergency, rethink the strategy. Cash does offer flexibility and you should have 3-6 months’ worth of expenses at hand. But even this amount should be invested in short-term debt funds, liquid funds or sweep-in savings accounts linked to fixed deposits. If, however, you have a copious amount lying idle, know that you are eroding its purchasing power. The money is not growing and inflation will allow you to buy fewer things with the same amount some years down the line. Besides, you are forgoing the high returns you could have earned by investing it in, say, equity, for long-term goals. Also try to make most transactions cashless and hold only a small amount of cash at home.

3. Don’t change asset allocation in a panic

Panic is virtually a default reaction in times of financial crises or unanticipated developments like demonetisation. Though Indian investors have wizened up since the 2008 economic crisis, many are still rushing to the security of gold and debt after the 8 November announcement. This is yet another opportunity to remember that asset allocation should be changed only in line with your age, short- and long-term needs, risk appetite and proximity to life’s goals. While one should re-balance from time to time to retain the desired asset allocation, do not take erratic decisions and risk your investments by reacting to short-term aberrations.

4. Keep pace with tech to handle your finances

It pays to keep pace with technology. Literally, as demonetisation has proved. Though banks and other institutions have been pushing online and mobile transactions for a few years now, demonetization may prove to be the inflection point. Even as people are rushing to download mobile wallets and register for Net banking and online transactions, the clear learning is that it is critical to keep track of the latest tech upgrades. The people who were already paying their bills via Net banking or mobile wallets, and using credit cards, did not suffer as much as those who weren’t. It’s high time then to shift to mobile banking, downloading apps for financial transactions, and learning about online transfer of funds. It will not only increase your ease of transactions, but also reduce time and help to save money.


5. Buy your kid a piggy bank, give pocket money

The final takeaway from demonetization is to provide your child a piggy bank and a regular supply of pocket money. The children who already have these proved to be a boon for their parents during the current crisis, with lower currency and loose change helping tide over the difficult time. The learning, however, is not to rely on this stash as a contingency fund since these minuscule savings are unlikely to help you during a bigger financial crisis. On the other hand, the habits of regular saving, discrete spending, making their own purchases and focused saving for small goals will inculcate financial discipline in kids. They are not only likely to manage their finances better as adults but also handle crises with greater equanimity. We at Kushal Landmarks request you all to save your hard earned money & invest it wherever you expect good returns. Work nicely & invest wisely…:)

 Courtesy: Economic Times

What is the next big announcement PM Modi is planning to make after 31st December 2016?

The Indian Prime Minister, Modi, has taken the issue of scrapping out the income tax seriously and is also looking to chalk out on the strategy to implement the new policy imposing upon income tax. The Indian government going to implement the income tax from the FY 2017-18 and replace all taxation system with BTT (Banking Transaction Tax) from April 2017.

For example:

• The builders, Politicians and businessmen those who work on black money market, will have to pass through a troublesome journey which will cause a big displeasure for them due to this taxation system.
• The banks all over the India would provide more loans in lesser interest which will help to common people 
• The entire root of terrorists are connected to black money supply. They are greatly funded by various parties and foreign organisation to weaken the country and Indian economy in the name of freedom of speech

So there is a probability that the country in coming years will be paying just two types of tax:

1. Direct Tax as BTT (Banking Transaction Tax) and
2. GST (Goods and Service Tax) as Indirect Tax

If executed properly, this will be one of the ground breaking economic transformations of India. There is a huge advantage if the government abolishes the income tax.

Lets’ understand how?

Suppose there is a salaried person, who pays a huge amount of his salary to the income tax, but if it is scraped the take home-salary of the person in increased which will in turn raise the spending capacity of the person. Consequently there will be no question of tax avoidance which will put an end to black money generation.

A genuine effort is always put in to ensure that we create enhanced value residences for our customers, a promised growth to our investors, a satisfied role to our employees & an equally responsible commitment to the society. We operate with enforced discipline and high standards to emerge as a solid & trustful organisation. Being truthful, responsible, diverse, caring and respectful are core values of our functions.

Budget Homes in Pune

'Surgical strike on black money' to fight against black money corruption:

PM Modi bans Rs.500 and Rs.1000 currency notes in India:

In a special sudden address to the nation Indian Prime Minister Narendra Modi announced demonetisation of Rs 500 and Rs 1,000 notes with effect from post-midnight on 8 November, 2016, making these notes invalid in a major assault on black money, fake notes and corruption.

The prime minister said that this was done 'in a grand sacrifice to cleanse the country like you cleanse your surroundings', the government has decided to make Rs 500 and Rs 1000 notes no more legal tender post-midnight tonight. So these notes are pieces of paper now for which you are passionate.

PM Modi said the measures were aimed at curbing the “disease” of corruption and black money from nip in the bud. “There is a need for a crucial war against the threat of corruption, black money and terrorism… Corruption, black money and terrorism are festering wounds which make the country hole from within,” he said


Rs 500 & Rs 2000 Currency Would Be Introduced:

Meanwhile, the scarcity of Rs 2000 notes has been finally solved. PM Modi informed the nation that within few weeks, new currency notes of Rs 500 and Rs 2000 denominations would be introduced, which will replace previous bank notes.All banks and ATMs would be closed tomorrow, as the authorities would be re-fueling smaller denominations and the new currency notes of Rs 500 and probably Rs 2000 as well.

As the government made a surprise announcement of making Rs 1,000 and Rs 500 bank notes illegal from midnight, the monetary authority posted a detailed FAQs explaining the rationale behind the move.

The Reserve Bank of India said the most important reason for the ban was the absurd rising of fake currencies to higher denomination, and also the higher incidence of black money in the system, but assured the public that a person could changed his higher value cash with exactly the equal amount in lower denominations.

    "You will get value for the entire volume of notes tendered at the bank branches/RBI offices," the central bank ensured the public. But it was quick to add that there will be caps on the cash one can tender.

"One will get up to Rs 4,000 in cash irrespective of the size of tender and anything over and above that will be receivable by way of credit to bank account," the RBI said with mention that one cannot get the entire amount in cash as the scheme of withdrawal of old high denomination notes does not provide for it, given its objectives

"   The fake notes are used for anti-national and illegal activities. High denomination notes have been misused by terrorists and for hoarding black money. We as a nation remain a cash-based economy, hence the circulation of fake rupees continues to be a menace. To contain the rising incidence of fake notes and black money, the scheme to withdraw high-denomination notes has been introduced," RBI said.

Illustrating the importance of the scheme, the RBI said the legal tender character of the notes in denominations of Rs 500 and Rs 1,000 stands withdrawn. In consequence, the withdrawn old high denomination notes cannot be used for transacting business and/or store of value for future usage.

The old notes can be exchanged at any of the 19 offices of the Reserve Bank, any of the bank branches or at any head post offices or sub-post offices for the value. 

For those who need higher amount of cash over and above the permitted Rs 4,000, RBI said one can use balances in bank accounts to pay for other requirements by cheque or through electronic means such as online banking, mobile wallets, IMPS, credit/debit cards etc.

For those without any bank account, RBI said they can open an account with necessary KYV documents.

Even no frill accounts under the Jan Dhan Yojana can also avail of the exchange facility subject to the caps and other laid down limits in accord with norms and procedures

But all the exchanges would process through valid identity proofs of the individuals. This can be done at any branches of the bank that one is banking with and can also be done at other bank branches by providing valid identity proof and bank account details.

A person having no personal account can avail of this exchange facility via a relative/friend's account with written permission. But while exchanging, one should provide the evidence of permission given by the account holder and own valid identity proof.


The exchange can also be done through a third party by a written authorization letter with the bearer, who should have identity proof.

On withdrawals/exchanges through ATMs, the RBI said banks will take time to recalibrate the ATMs. Once the ATMs are functional, one can withdraw upto a Rs 2,000 per card per day up to 18 November. The limit will be raised to Rs 4,000 onwards

Even cash withdrawal through cheque/withdrawal slips is subject to a ceiling of Rs 10,000 in a day within an overall limit of Rs 20,000 in a week (including withdrawals from ATMs) for the first fortnight-up to 24 November.

.    Higher value notes can be deposited/withdrawn through ATMs, cash deposit machines and cash recyclers.

1    But electronic transactions (NEFT/RTGS/IMPS/ online banking/mobile banking etc) can be run with no limits.

1    The scheme will be closed on 30 December, 2016 until then one can exchange the banned notes at the branches of commercial banks, regional rural banks, urban cooperative banks, state cooperative banks and special RBI counters. And a limited opportunity will be offered to the person who failed to grab the previous chance at specified offices of the RBI, along with necessary documentation as may be specified by the central bank.

1     Those who are outside the country could have their exchanges by authorising in writing another person in the country to deposit the notes into your bank account with the authority letter and identity proof such as Aadhaar card, driving licence, voter ID card, passport, NREGA card, PAN card etc.

1   Even NRIs can also deposit the banned notes to NRO account. A visiting foreigner can purchase Foreign equivalent to Rs 5,000 using these illegal notes at airport exchange counters within 72 hours after the notification.

1   Till next 72 hours (starting from 8.30 PM on September 8th), Rs 500/1000 notes would still be accepted In case of emergencies at:

– Govt. hospitals

– Medical shops

– Railway booking counters; Bus tickets; Airline counters

– Petrol, CNG outlets run by public sector companies

– Consumer co-operative stores run by Govt.

– Milk booths run by State/Centre Govt.

– Burial grounds and crematoria

PM Modi expressed confidence in bank staffs and post office staffs who rise to the occasion, and ensure smooth transition to all.  

Meanwhile, RBI has decided to launch a control room for any sort of confusion. This helpline would be based in Mumbai, and can be accessed at 022 22602201, 22602944 (effective 8 AM, November 9th)

The role Real Estate Developer in Pune, we Kushal Landmarks stand by this absolutely great decision taken by the government of India to fight against the corruption and to curb the usage of black money for ill purposes. We request everyone to show their support towards our nation & for a better India. By supporting this decision you not only support government indirectly support you.

10 Ways To Decorate Your Home This Diwali

Diwali is a vibrant and joyous festival of our country which enlightens with ray of hope. People celebrate it with great enthusiasm. People makes this occasion joyous by doing pooja, lighting crackers, preparing delicious sweets. They spend time with family members, visit their loved ones and exchange gifts/cards. Most people re-paint their house, clean it thoroughly & decorate well that they have a believe Goddess Lakhsmi enters in a gorgeous looking neat and clean house. There are many decoration ideas to make grandeur your Diwali celebrations?

Diwali Diya

Diwali celebration is incomplete without diyas/deebams that are basically made out of clay. People hope the lights of diyas will destroy woes of lives & bring good luck to them. Throughout Indian, people love decorate their place with colourful and painted diyas on the eve of diwali.

Floral Diya

In a simple and traditional way we can present this. Place 4 or 5 in a plate/ big bowl of water surrounded with flower petals to decorate them. This will not only give a contemporary look but also add fragrance and feeling of charm.

Diwali Lanterns

Lanterns add light and colour both feels in this festival so it an important component and are mainly used on the stairs or balcony to enhance its beauty. It creates illusion when air passes through it . This Diwali, gets the most attractive paper lanterns in different shapes to light up the entrance of your home also.

Serial Lamps

Serial lamps mostly known as Christmas lights which are available in different shapes and sizes with colourful bulbs that resemble the row of diyas. It is safe for the children. Instead of diyas we also can chose it to avoid accidents. Buy serial lamps in meters based on your requirement and decorate the house with lights.

Decorative Candles

Now candles are modified in all aspect. Instead of using simple candles we chose the creative one which are made by dried flower petals, twigs to cinnamon sticks to decorate a candle by sticking it around them. If we stick these materials appropriately it remains for a long time.

Chakan: The Most Preferred Investment Destination

Situated at the outskirts of Pune City, Chakan has transformed into the major industrial and commercial hub in the Pimpari Chinchawad twin cities in Pune district. Best known as the automobile hub, Chakan hosts several MNCs and software companies. Special Economic Zone (SEZ), infrastructure development, ample availability of natural and human resources and state government’s pro industries policies have fueled rapid industrial growth and development in Chakan making it the most preferred investment destination in Maharashtra.

STRATEGIC LOCATION: Chakan is located at the outskirts of Pune City. The national highway 50 that connects Pune to Nashik also shares connectivity with Chakan. Its proximity to Pune-Mumbai Highway, Pune-Nashik Highway and Pune-Ahmednagar-Aurangabad Highway makes it the most preferred choice of investment in the town. The state government has proposed international airport and metro projects in the Pimpari Chinchawad region, which has boosted the growth prospects in the region.

INDUSTRIAL DEVELOPMENT: In order to bring foreign investment in the region, the government of Maharashtra has promoted Special Economic Zone (SEZ) in Chakan. It has since evolved into a major automobile hub. Chakan hosts automobile production plants of Volkswagen Group, Mahindra & Mahindra, Jaguar Land Rover, Bajaj Auto and General Electric. Over 750 large and small industries, including a number of automobile component manufacturers are based in the area. The Chakan-Talegaon belt has developed well as an industrial corridor and is coming up as a twin city like Pimpri Chinchwad. The news of the international airport is another growth driver due to which industries are keen to invest in Chakan.

EMERGING E COMMERCE HUB: With rapid industrial development, Chakan is also emerging as an E Commerce hub. Amazon Seller Services have recently opened fulfillment center in Chakan. Along with E Commerce business, the fulfillment center is expected to enable the growth of ancillary businesses such as packaging, transportation, logistics, and hospitality across the State. The E Commerce growth has further boosted the growth of IT and ITeS in the region giving ample growth prospects for IT professionals.

THE WAY AHEAD:The industrial growth in Chakan is getting stronger and there is huge potential for growth of IT. However, it requires an additional push on part of the government to exploit the full potentials of the region.

Properties in Chakan are now getting sold very fast. This place has become developed with many residential projects. Chakan is also well-connected with well-known roads, railways and transport networks. The place has good institutions, schools, hospitals, commercial centers, multiplexes, etc. And as such people are now getting fast transferred to live life here forever. Buying property in Chakan has proven to be advantageous. This place has loads of good residential projects. These residential projects come with various designs and technological facilities. The projects prove worthwhile as it satisfies people every day needs and wants. People are looking for buying Chakan projects. The projects are getting launched and even getting sold at a very fast rate. And as such many under construction projects in Chakan are going on to fulfil the needs of buying properties in this place. Chakan properties will remain as the biggest asset of your life once you buy it. The housing projects get developed by well-known real estate developers. They build modern houses to satisfy the needs and desires of buyers. The new residential projects are available in a nominal rate. Chakan properties are truly worth buying as you will get advantages from this place. Buying properties always prove useful as the property rates rise higher with each passing year. The place has good facilities and the place is getting valuable every day.

We at Kushal Landmarks have come up with Budget Homes in Chakan named Kushal Swarnali. The project incorporates about 1000 homes and 42 commercial spaces spread across 11 buildings and about 12 acres of land. Catering to varied pocket sizes these homes virtually satisfy every need of occupants without sacrificing Quality, a typical characteristic of a project done by Kushal Group. Kushal Swarnali has won the Best Affordable Housing Project of the Year Award– North Pune at SiliconIndia Pune Real Estate Awards 2015. Kushal Landmarks become one of the  best  Real Estate Develoers in Pune & also in PCMC location  for your dream home.