Mark:
<What the heck does demonetarise mean?>
It means they'll make them non-legal tender...of no value. The gov't says they feel that by making large denomination bills worthless, they'll encourage repatriation of foreign stashes, and stop the smuggling of large amounts of currency.
Having been a Fine Arts major, I don't know what they hope to accomplish...my interpretation of foreign deposited currency is that it amounts to an interest-free loan for the issuing country...and if someone has stashed currency abroad, why would they wish to repatriate it under the current conditions? And even if someone did, what would prevent them from converting the currency now, to dollars, say, and then buying gold, diamonds, stamps, or whatever would be of value in their home country, and then smuggling that commodity into the country? Doesn't seem to make sense to me; seems more like a political ploy to move attention away from their own incompetence. Smoke and mirrors.
Merritt |
