Emergences. A year ago, on November 8, 2016, the world was seized with amazement at the consecration of a Donald Trump promises to the american workers as a revenge on ” the system “. On the same day, at the other end of the planet, the indian prime minister, Narendra Modi, announced the victory of the “citizens” common front for the elite, the corrupt and the fraudsters. His weapon ? The deletion, without notice, to 86% of the denominations of money in circulation in the country. This decision is first passed unnoticed outside the borders of india. Las. The chaos and dismayed caused by this démonétisation radical have quickly attracted worldwide attention.
Launched in haste, the new VAT has sown panic among the traders and SMES
Twelve months later, the “success” which claims the government has struggled to convince. The expected effects on the dirty money and corruption ? Impossible to demonstrate. More documented is the brutal jolts experienced by the economy of the sub-continent. In a country where 90 % of the population works in the informal sector, the end of old banknotes has shaken the micro-enterprises by the throat and taken the most poor, the peasants and lowly and all the excluded from the banking system. The drying up of liquidity has overcome the production, income and consumption.
As soon as the economy began to absorb this shock money he had in cash a other : tax this time, with the implementation this summer of a VAT tax unified goods and services. A reform that is supposed to rhyme with efficiency and simplicity in resulting the days when companies had to juggle with an inextricable tangle of taxes, national and local. Launched hastily, with six different rates applied in a manner byzantine, depending on the product, the new VAT has sown panic among the traders and SMES.
The marketing campaign ” Make in India ”