By Lalit K JhaWashington, Dec 15 (PTI) The International Monetary Fund(IMF) sees benefits in the medium-term from the demonetisationexercise which India carried out about a year ago.
"We see salutary benefits from the demonetisation thattook place a year ago. And there are potential benefits goingforward," William Murray of the IMF told reporters at thefortnightly IMF news conference.
Murray said the demonetisation did cause some temporarydisruptions in economic activity, primarily, privateconsumption and small businesses due to cash shortages.
"(But) the effects are dissipating," he said in responseto a question.
"In the medium term, demonetisation could have possibleeffects, including through greater formalisation of and theinformation on economic activities and a more efficientpayment system with a greater use of the banking system anddigital payments," Murry said.
The IMF is slated to come out with an update of itsprojections of IndiaÂ’s growth rate along with the rest of theworld in January. PTI LKJCHT.
This is unedited, unformatted feed from the Press Trust of India wire.