Modi may need 6 more months to replace India's junk bills

Mumbai

FOR Indians expecting respite from the government's clampdown on cash, here is a reality check: it probably will not come soon.

Prime Minister Narendra Modi's administration may need until May 2017 to replenish the stock of now worthless bills, according to Saumitra Chaudhuri, an economist who advised Mr Modi's predecessor. The government on Nov 8 banned notes of 500 rupee (S$10) and 1,000 rupee denominations in a surprise move against graft and tax evasion.