TOKYO -- The economic impact of India's demonetization measures in November, in which 500- and 1,000-rupee bank notes were banned, will be "short-lived" as the country is expected to show solid growth this year, the Asian Development Bank's deputy chief economist, Juzhong Zhuang, said on Wednesday.
"Given India's cash economy, the measure inevitably disrupted businesses' spending at small and medium enterprises, and household consumption," Zhuang said in an interview on the sidelines of the Nikkei Global Strategy Forum in Tokyo. "For the long-term health of the Indian economy, however, it will help reduce tax evasion and corruption, which are certainly important issues."
