Loading ...I’m going to rank that rumor as ‘Plausible’ for one reason. In trying to control the untaxed dollars by eliminating their higher dominations of paper currency I am guessing folks may be switching to the other currency, gold. In their society it is very liquid and the majority of the citizens have some amount. No paper, no problem. So I guess the next step would be to ban its import.
I have several ideas why such an attempt would be stamped “Fail!”
India has thousands of years of trading across borders, black markets, and are a creative bunch in getting around their government regs. It’s possible they are already putting a work around into practice by converting their paper assets into more tangible ones even at this very moment, thus the rise in premium for gold.
If the Indian Government does indeed force this rule, I expect the packages of ‘car parts’ leaving America and elsewhere and headed to India is going to be huge. Their cultural ties to the safety of gold is not a light one for they have lived through financial hardships before and understand first hand the value of an ounce.
But if this law indeed comes into play, I want to make you a business offer. With my looks, and your money, lets start a company manufacturing 24 carat IPhone covers. I think with a Billion people living in India, projections for our first year sales would be outstanding. Never let a crisis go to waste eh ? 🙂