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India-Russia Trade: Is Indian Rupee Worthless For Cross-Border Transactions?

barter than

All that Indians have to barter is cow dung.

Sorry! No one is interested in Indian cow dung.

Will be worthy only if indias share of global trade increases.

Indians produce nada.

All factories are moving from China to Vietnam, Indonesia, Thailand and Bangladesh.
 
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#India Is Scrapping Rs 2,000 note. Critics call it ham-handed, saying it has shaken consumer confidence & damaged rupee. Others noted that while 2016 #demonetization helped gov't claw back nearly all of withdrawn bills, it didn't eliminate black money. https://www.nytimes.com/2023/05/31/business/india-2000-rs-rupee-notes.html?smid=tw-share

The move to retire 2,000-rupee notes, worth $24, has triggered bad memories of a similar campaign in 2016. It has also left some businesses short of change.

Indians have been filing into gas stations, jewelry stores, fruit stands and any other businesses that still accept soon-to-be-withdrawn 2,000-rupee notes, each worth about $24.

The race to spend India’s biggest bill has been on since its central bank announced this month that they would be removed from circulation by early fall.

India’s vast economy remains heavily reliant on cash, and many businesses have welcomed the surge in traffic, even if it has left them a bit short of change. Economists say retiring the big bill may help fight corruption, bring workers into the formal economy, improve tax collection and accelerate India’s push for digital payments.

But for some consumers, the move has dredged up unpleasant memories of 2016, when Prime Minister Narendra Modi’s sudden ban on large notes left them without enough cash for basic transactions. In an economy that is driven by rural and informal workers, some do not own bank accounts — or trust the government’s economic policies.

“It is better to buy gold or silver and keep it,” said Meenu Kevat, 32, a cleaner in New Delhi who does not have a bank account and hoards her cash earnings in a tin box. After the recent ban was announced, she said, it took her four days to cajole shopkeepers into converting 12 of her 2,000-rupee notes into smaller dominations.

“I don’t trust cash now the government can do anything it wants,” Ms. Kevat said, standing outside a grocery store in south Delhi. “It can cancel a note anytime, no matter how small or big.”

The fine print
In 2016, Mr. Modi’s government announced without warning that it was withdrawing India’s two largest denominations at the time — the 500- and 1,000-rupee bills — to expose and penalize people who held huge amounts of money that could not be accounted for.

After that sudden demonetization, A.T.M.s were overrun, and some retail businesses came to a standstill because customers were hoarding the little cash they had. And because the withdrawn notes amounted to about 86 percent of the cash in circulation at the time, the government decided to introduce the 2,000-rupee bill as a “remonetization” measure to ease the currency crunch.

So far, the move to withdraw the 2,000-rupee bills from circulation is causing far less disruption. That may be because they account for less than 11 percent of the currency in circulation. India’s 1.4 billion citizens also have until Sept. 30 to either spend the bills or exchange them at banks. (The bills will remain legal tender after that, but many Indians are taking the deadline seriously, because they worry that government policy could change.)

In the long term, removing the 2,000-rupee bills will probably help with a gradual, positive move toward formalization and transparency, said Phyllis Papadavid, an economist who studied the 2016 demonetization program. More workers should be able to formally register and claim benefits, for example, and there will be higher barriers to tax evasion.

“I can’t think of any aspect of an economy that is worse off by digitalization or formalization, because, basically, you have better usage and management of information, and accountability,” said Ms. Papadavid, the director of research and advisory at Asia House, a research outfit in London.

In the short term, though, the cash rush has caused a few headaches.
No expert has called scrapping 2000 notes ham handed. You just make up this crap.

All the negative news that @RiazHaq posts on India lately actually feels like a positive news for India. India and Russia will work out a mechanism to sort this issue out while our neighbors will move on to find some other dirt on India while their own house is in shatters. Kudos to priorities.

May be @RiazHaq should make a thread on how Pakistan growing at .3% and with inflation at 34% is actually doing better than India with 7.2% growth and a meager inflation of 4.5%. India is fuvked truly, all hail @RiazHaq, the premier economist. Lol.


We are simply recovering all the money we spent on defence toys with them. :p:D

On a serious note, they will simply trade the rupees with countries that need them like Bangladesh. That's how Indian rupee will become part of international currencies. Everything will work out in our favor. Just watch from the sidelines.
From what I have see of this guy , he just makes up stuff as he goes while writing crap with preconceived notions. Probably gets some handout from anti India lobbies
 
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So badly *****

Well they can buy lot of certain animal urine with it lmao

Indian famous export lmao


Bangladesh will export what to india? This will never work lmao

Russia is truly fucked but ya they kind of ask for it
Bangladesh will need Indian rupees to buy from India. In what world Bangladesh exports to India more than it imports. 🤣. Russia can buy clothes from Bangladesh in Indian rupees and Bangladesh will then pay India back in Indian rupees for it's imports. Hence the arrangement with Bangladesh, Nepal and Sri Lanka recently. It's good for all countries involved as it increases their trade with Russia and reduces dependency of dollars in our trade. Please before commenting think through what is happening.
 
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All that Indians have to barter is cow dung.

Sorry! No one is interested in Indian cow dung.



Indians produce nada.

All factories are moving from China to Vietnam, Indonesia, Thailand and Bangladesh.
i have muttar i would like to swap for indian dung.
 
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From what I have see of this guy , he just makes up stuff as he goes while writing crap with preconceived notions. Probably gets some handout from anti India lobbies

@RiazHaq is just some silicon valley middle level guy thats retired and has too much time on his hands now.

He is bitter and frustrated at how Pakistan is turning out each year....so that drives his obsession with selective nitpick on India lol.

He got owned pretty hard at some debates here I remember reading whenever he actually did attempt to with someone of actual note on a subject.

He is rightfully seen as a clown by many folks and hangout spaces that actually have some semblance of critical thinking and less echo chambering delusion.
 
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Maybe you should actually read what you post?

"Adding to" is not "is"

You do realise its impossible for India to have imported that much in a little more than 1 year from Russia?

1 billion a month, maybe do the math first?
my bad, regardless Russia is fooked with an estimated 147B$ in current-account surplus that they can't convert, with limited investment options and very little they can import from countries like India.
 
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my bad, regardless Russia is fooked with an estimated 147B$ in current-account surplus that they can't convert, with limited investment options and very little they can import from countries like India.

It is close to a 3rd world economy for sure. They are very energy export dependent and is extremely oligarchical structure (so the economy just didnt grow to any great lateral rooted degree).

Putin miscalculated (he believed it would be short easy war/demonstration), Russia has got bogged down.... and now has too much ego (along with the collective rodina ego) to save his country... i.e he has to double down and the cost mounts.

The balance of payments issue is just one smaller part of this....the military and economy just doesnt match the ego and incompetence of Russia in the end.

They are going to be stuck with several bills and costs, the boat is going to sink and faster than one could have imagined earlier.
 
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Bangladesh will need Indian rupees to buy from India. In what world Bangladesh exports to India more than it imports. 🤣. Russia can buy clothes from Bangladesh in Indian rupees and Bangladesh will then pay India back in Indian rupees for it's imports. Hence the arrangement with Bangladesh, Nepal and Sri Lanka recently. It's good for all countries involved as it increases their trade with Russia and reduces dependency of dollars in our trade. Please before commenting think through what is happening.
there are no agreements at all. It just some talk.

Bd paying Russian with Chinese currency and Russia now only can use this to buy from china. That’s just sad reality for Russia, since Russians love European goods lol
 
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@Chute bhai,

@RiazHaq is just some silicon valley middle level guy thats retired and has too much time on his hands now.

Brofessor sb specialises in posting good news about Pakiland and bad news about India. Since the former are far and few in between these days, he posts more about the latter. He has not changed a bit since I met him first on chowk.com somewhere in the mid 2000s and honestly I am glad about that. I wouldn't want him to change a bit.

In many ways, Brofessor sb is a person I wish I could have been like. Made a zillion dollars by mid 40s and then retire and do tu tu main main online all day.

Regards
 
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@Chute bhai,

@RiazHaq is just some silicon valley middle level guy thats retired and has too much time on his hands now.

Brofessor sb specialises in posting good news about Pakiland and bad news about India. Since the former are far and few in between these days, he posts more about the latter. He has not changed a bit since I met him first on chowk.com somewhere in the mid 2000s and honestly I am glad about that. I wouldn't want him to change a bit.

In many ways, Brofessor sb is a person I wish I could have been like. Made a zillion dollars by mid 40s and then retire and do tu tu main main online all day.

Regards
I too saw his blog posts first somewhere around 2007. It is hard to imagine it is already over 15 years since then. I looked him up and found man in his 50's by then. I was amazed that this man had so much time on hand to write so many made up stories as news. It is even more amusing that it continues till date. It's just sad really that Pakistan doesn't give him too many opportunities to actually write real news stories. I don't think he'll get to write them in his life time given how badly Pakistan has fallen back recently. It's just sad for a person who dedicatedly wrote so many fantasies about Pakistan economy to not live out those fantasies. I wish him peace in his old age although I doubt if he'll find any.
 
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@protean

I looked him up and found man in his 50's by then.

Well he is one mean cookie- he was the leader of the Intel team which developed the microprocessors, pretty much a pioneer of the PC and mobile industry. He is great at using data (although he misuses them at times) and honestly I have learnt a lot about using data and development economics from him.

Regards
 
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Being friend of India is worse than being friend of US. You can not find the word "give" in Indian dictionary.
 
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Being friend of India is worse than being friend of US. You can not find the word "give" in Indian dictionary.
India gave millions to Pakistan when it was spun off.
India gave Chine the unesco permanent seat.
India gave vaccine to the world to save from China virus

Just examples
 
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India gave millions to Pakistan when it was spun off.
India gave Chine the unesco permanent seat.
India gave vaccine to the world to save from China virus

Just examples

India gave nothing to Pakistan when it was spun of ...

The British Raj divided assets into India and Pakistan when both India and Pakistan was created.

India didnot exist before partition - only the British Raj ...
 
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