IMPACT OF DEMONETISATION ON NBFC-MFIS: AN INCIDENTAL DATA ANALYSIS
1
Author(s):
PRIYA SAMANT
Vol - 8, Issue- 12 ,
Page(s) : 145 - 159
(2017 )
DOI : https://doi.org/10.32804/IRJMSH
Abstract
Demonetisation is an economic policy where a currency ceases to be recognized as a legal tender. This is tool to curb black money, reduce terror funding, money laundering etc by reducing the cash in the economy which is directly related to these issues. Whenever such large amount of cash is withdrawn, it creates ripples in every sector of the economy especially when the sectors are largely cash driven like handicrafts, textiles, real estate, and construction etc. Demonetization made huge impact on NBFC-MFIs as the industry is entirely cash driven. The paper studies the impact of Demonetization on NBFC-MFIs drawing incidental data from MFIN reports and considering various indicators -collection efficiency, Portfolio at Risk, loan disbursements, mode of disbursements and outstanding borrowing. The findings suggest that the impact of Demonetization was felt across the sector with short term impact being deteriorating. But, post-demonetization period saw improvement in these indicators.
- Advocates, H. (2016, November Monday). Effects of Demonetization on NBFC- MFIs. Retrieved September Sunday, 2017, from www.legallyindia.com: http://www.legallyindia.com/views/entry/effects-of-demonetization-on-nbfc-mfis-4
- CARE. (2017). Demonetization:A Pause for sustainable growth for Indian Microfinance Industry. Mumbai: CARE.
- Dash, A. (2017). A Study of Socio-Economic Impact of Demonetisation in India. International Jpurnal of Management and Applied Sciences , 13-15.
- Effects of Demonetisation on NBFC-MFIs. (2017, May Friday). Retrieved September Sunday, 2017, from www.enterslice.com: https://enterslice.com/learning/effect-demonetisation-nbfcs-mfi/
- Krishnakumar, A. (2017, March Friday). Effects of Demonetisation of Microfinance in India. Retrieved September Monday, 2017, from www.dailyfintech.com: https://dailyfintech.com/2017/03/17/effects-of-demonetisation-on-microfinance-in-india/
- (2017). Macroeconomic Impact of Demonetisation-a Preliminary Assessment. New Delhi: Reserve Bank of India.
- Mali, V. (2016). Demonetization: A step towards modified India. International Journal of Commerce and Management Reserach , 35-36.
- MFIN. (2015-16). Annual Report .
- MFIN. (2014-15). MFIN Annual Report . MFIN.
- MFIN. (2017). Micrometer.
- Nag, A. (2016, November). Loss Due to Demonetisation. Economic and Political Weekly , pp. 18-21.
- Vishwanathan, R. (2016, December Tuesday). Impact of Demonetization on MFI Sector. Retrieved September Sunday, 2017, from www.motilaloswal.com http://www.motilaloswal.com/site/rreports/HTML/636173023570696407/index.htm
- Ahuja, H. (2017). Demonetisation:An Impact on Indian Banking Sector. International Journal of Engineering Technology, Magament and Applied Sciences , 165-168.
- Borkar, N. (2016, November Wednesday). List Of Countries That Have Tried Demonetisation Before India. Retrieved September Wednesday, 2017, from www.indiatimes.com http://www.indiatimes.com/news/world/here-s-a-list-of-countries-that-have-tried-demonetisation-before-india-265743.html
- Demonetisation: 5 countries that tried currency reforms and failed. (2016, November Sunday). Retrieved September Wednesday, 2017, from www.business-standards.com http://www.business-standard.com/article/economy-policy/demonetisation-5-times-countries-tried-currency-reforms-and-failed-116111800271_1.html
- Effects of Demonetisation on NBFC-MFIs. (2017, May Friday). Retrieved September Sunday, 2017, from www.enterslice.com https://enterslice.com/learning/effect-demonetisation-nbfcs-mfi/
- Impact of Demonetisation and Preparation for GST. (2017, June Wednesday). Retrieved September Tuesday, 2017, from www.livemint.com http://www.livemint.com/Industry/gMxmdrpmSXk4LtHmyGFzXP/The-impact-of-demonetisation-and-the-preparations-for-GST.html
- Impact of Demonetisation on Microfinance Sector and Finnacial Inclusion. (2016, December Friday). Retrieved September Sunday, 2017, from www.insightsonindia.com http://www.insightsonindia.com/2016/12/23/6-impact-demonetization-microfinance-sector-financial-inclusion-poor-critically-examine/
- India, R. B. (2017). Macroeconomic Impact of Demonetisation: a Preliminary Assessment. Delhi.
- Jain, M. (2017, June Thursday). Demonetisation hits microfinance sector hard, says ratings company report. Retrieved September Tuesday, 2017, from www.scroll.in https://scroll.in/latest/840708/demonetisation-hits-microfinance-sector-hard-says-ratings-company-report
- Krishnakumar, A. (2017, March Friday). Effects of Demonetisation of Microfinance in India. Retrieved September Monday, 2017, from www.dailyfintech.com https://dailyfintech.com/2017/03/17/effects-of-demonetisation-on-microfinance-in-india/
- Loona, A. D. (2016, November Monday). Effects of Demonetization on NBFC-MFIs. Retrieved September Sunday, 2017, from www.legallyindia.com http://www.legallyindia.com/views/entry/effects-of-demonetization-on-nbfc-mfis-4
- Mali, V. (2016). Demonetization: A step towards modified India. International Journal of Commerce and Management Reserach , 35-36.
- MFI may be hit by Note Ban Impact. (2017, August Thursday). Retrieved September Thursday, 2017, from www.thehindhu.com http://www.thehindu.com/business/mfis-may-be-hit-by-note-ban-impact/article19566904.ece
- Preety, J. A. (2017). Impact of Demonetisation on Banks. International Education and Reserach Journal , 337-339.
- Ray, A. (2017, January Friday). MFI sector yet to get over Demonetisation Impact. Retrieved September Sunday, 2017, from www.economictimes.com http://economictimes.indiatimes.com/industry/banking/finance/mfi-sector-yet-to-get-over-demonetisation-impact/articleshow/56810668.cms
- (2015). Report of the Committee on Medium term Path on Financial Inclusion. New Delhi: Reserve Bank of India.
- Rising concerns on Microfinance Institution's Asset quality Post Demonetisation. (2017, January Tuesday). Retrieved September Monday, 2017, from www.indiainfoline.com http://www.indiainfoline.com/article/news-sector-banking-financials/demonetisation-rising-concerns-on-microfinance-institutions-asset-quality-post-demonetisation-117012400549_
- Routnal, J. K. (2017). Demonetisation Impact on Indian Economy. International Journal of Applied Reserach , 599-603.
- Sharma, A. (2017). Demonetisation impact on securitised pools reflects V shape recovery. CRISIL.
- Vishwanathan, R. (2016, December Tuesday). Impact of Demonetization on MFI Sector. Retrieved September Sunday, 2017, from www.motilaloswal.com http://www.motilaloswal.com/site/rreports/HTML/636173023570696407/index.htm
|