Cashless Economy: The Way Ahead Archana Chauhan The Currency notes of Rs. 500 and Rs. 1000 which constituted nearly 86% of the whole money circulation in the country, were demonetized on November 8, 2016. The Government gave the option, either to deposit the scrapped currency notes in banks or exchange them against new currency. According to the government, Demonetization is intended to combat untaxed black money, rampant corruption, encourage cashless transactions, check hawala transactions to counter terrorist activities and to bring more accountability in the informal sector of the economy. India's black money has been estimated by the World Bank in 2010 to be worth about one fifth of the Gross Domestic Product (GDP). In a country where 90% transactions are carried out on cash basis it was a revolutionary move to transform from cash to cashless transactions. Demonetization is an act of scrapping the legal tender status of a currency note. When new currency is introduc