4th January 2017
Did USAID and Boston Consulting Group have anything do with Modi’s demonetisation?
Two conspiracy theories have emerged which I want to first note down, and then record my views:
This article alleges (with some circumstantial evidence) that USAID is behind this demonetisation:
I agree the cashless frenzy is probably motivated by the USAID. However, the idea of demonetisation was **definitely** Modi’s. Recall he never mentioned one word about cashless objectives for many weeks. That’s because he thought he knew what he was doing.
b) Boston Consulting Group
You may like to access and read the BCG-GOOGLE Report titled “Digital Payments-2020” brought out in July 2016, just weeks before Urjit Patel took over as RBI Governor. Incidentally this gentleman has been advisor, BCG for quite a few years.
Once again, in the absence of any direct evidence that BCG exercises such huge influence on Modi (regardless of Urjit Patel being a BCG employee in the past), there is no reason to attribute demonetisation to BCG.
The idea of demonetisation is not new. This has happened before. And this has been floated by a lot of people as part of the fight against black money.
The SHEER INCOMPETENCE with which this was implemented proves that BCG or USAID had nothing to do with it. Regardless of what one may say about these organisations, they are not incompetent. I still believe that it is Modi himself who has initiated this “reform”.