Impact of Demonetization on Banking Sector

- Khushi Shah, Student, Faculty of Management, GLS University, Ahmedabad

- Hetal Pandya, Assistant Professor, Faculty of Management, GLS University.

Abstract:

This study finds out how majorly impact of demonetization in banking sector. This study based on secondary data through calculation of various ratios. The objective of the study was to determine positive and negative impact on banking sector by this bold step taken by majorly private sector affected by this move. This study shows that bank capital increase, CASA ratio increases and other side high level of NPA’s and reduction in profitability major concern by banks and major impact is deposit increase.

Keywords:

Demonetization, Banks, Liquidity, High NPA

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