The declaration of demonetization did come as a shock to most. Ranging from the widespread residents, to the richest within the nation, to even some components of the federal government had been in shock and awe on the Prime Minister’s speech to declare INR notes of 500 and 1000 as banned after a couple of hours.The web together with different types of media have been biting laborious on this case with lengthy queues of stressed residents’ pile in entrance of the financial institution and ATM gates. For us the stroke of midnight on the ninth of November, 2016 didn’t imply that Cinderella must run house. However as an alternative it meant that wallets and lockers stuffed with stacked cash in excessive denomination notes would flip into nothing however paper!Persons are analyzing the case of demonetization from all types of viewpoints, contemplating the financial angle, the political angle and the social angle.However why was this monumental resolution taken in such a secrecy? How will it have an effect on the shoppers, the residents, the native companies, the buying and selling programs, the banks and all of India Integrated?! Who will analyze all this information of PAN, Voter ID and Aadhar quotation, observe transactions and be the watchdogs of counting numbers?Finance Ministry hails the assistance of information analysts and search to deploy new analytics programs:The Indian Finance Ministry has been having many busy days particularly for the reason that demonetization declaration. Studies revealed that they need to make use of new analytics programs in place to trace and monitor all giant bills, monitor the splitting transactions as their recreation plan with utilizing know-how to trace black cash inside the nation.Finance Ministry officers acknowledged that they might quickly launch a press launch which is able to request for proposal i.e. RFQ. The primary stage of the method could be a tendering stage. The officers additionally reported that work has been occurring to put in such an efficient analytics system for so long as three years now.With the push of transactions, the discussions are rising an increasing number of critical. They perceive and are surer than ever about what’s it that the system desires. So, the ministry is on a hunt for organising a framework of the method by RFP. Till now the system had been reconciling information on the premise of piecemeal. Nevertheless, implementing such a sophisticated system will take a variety of work. Such had been the viewpoints obtained from a marketing consultant who’s conscious of the plan of the Finance Ministry.Some executives of the ministry did reveal that they’ve been in talks with the tech corporations about this train. This new platform will extra probably additional push ahead the half f the system that the ministry already possesses.As per the division, they have already got a system that logs in transactions of INR 5 to 10 Crore. Nevertheless, the brand new system will observe spends amounting from INR 50 Lakhs. They’re additionally trying to see if they will make a brand new system for flagging a real-time course of as presently the information processing system will not be actual time.This platform, as soon as in place will analyze information from the CBDT (Central Board of Direct Taxes), CBE (Central Board of Excise) in addition to Customs to catch unscrupulous people whose bills exceeds their declared revenue.So, it’s now comprehensible why the Finance Minister, Arun Jaitley had stated throughout his 2015-16 Price range Speech that this yr know-how use could be elemental to nab tax evaders.Mr. Jaitley additional acknowledged that provisions are being taken to handle the splitting of transactions. This can assist enhance the enforcements by the CBDT and the CBEC and they’re going to have the ability to leverage the applied sciences to have entry to one another’s databases for gathering info.Thus, it’s evident that this alteration whether or not for the great or unhealthy of the financial system, is certainly one for analytics professionals. As quite a lot of initiatives are being taken inside and across the ministry which makes use of analytics know-how. To determine tax these concerned in tax evasion and black cash. The federal government is ready to obtain info from a number of sources which can be put in inside a number of channels. If they will meaningfully and precisely analyze all these programs in a correct built-in method, then this may reveal a big chunk of tax evasion.They’re additionally taking measures in putting in particular fraud administration analytics programs that may assist stop skilled and opportunistic fraud.Suggestions have additionally been made about implementing a Information, Evaluation and Intelligence Centre for the federal government to allow information sharing and ease of research between the CBDT and the CBEC.How can the huge money dependent inhabitants of the nation be effected by this transfer?The largest blow of demonetization is for the working class of the society. This consists of our nation’s drivers, cooks, electricians, maids, plumbers and different laborers. These are individuals who supply necessary companies within the casual part. This inhabitants is solely depending on money on a month-to-month or a bi-monthly foundation.How will they be affected essentially the most?Think about a situation the place your maid’s month-to-month cost is due tomorrow. However you would not have ample small worth notes at house and likewise couldn’t beat the lengthy queues on the ATMs and banks. Then they must wait to be paid till you get some authorized tendered money in your fingers. With ATMs and banks slowly shedding their momentum and having scarcity of small denomination notes. The issue is a bubble of catastrophe ready to burst everywhere in the nation. The entire course of rides on the over-worked and really susceptible to human errors part of presidency execs and financial institution workers to permit a clean transitioning.However the catastrophe is even greater for these in distant rural areas with a scarcity of assets and data. They largely are unaware of mainstream banking programs and would not have entry to ATMs. These folks closely depend on giant worth money transactions and can be crippled till new notes floor the variety of folks and not using a correct checking account was roughly estimated to be 200 to 300 million and the quantity will probably be greater.Many argue that with Jan Dhan scheme and the UPI/digital cost stack would assist rural India to cope with the transition. However reality is it will likely be a very long time earlier than the agricultural a part of the nation turns into utterly cashless.As for these rural Indians who’ve a considerable amount of money within the type of 500 and 1000 notes, however no official type of identification will certainly face an enormous downside.