Currently, India faces devastating cash problems, unique and unprecedented especially for a country of its size. Governments of countries with highly developed financial systems too have proposed to scrape bank notes or at least decommission the highest denominations.
In India, the government announced overnight their two largest denominations, worth roughly US$15 and 7.5 respectively, would cease to be legal tender immediately.
Citizens had about one month to convert their cash reserves into new notes, with many problems being reported around the availability of notes and long queues at the bank tellers.
As Bloomberg points out, less than 10% of all Indians have ever used another payment method other than cash, and only two percent have ever used a mobile phone to pay for something.
Other countries too consider stepping in India’s footsteps. There is a debate in Australia over whether the AU$100 note should be withdrawn from circulation, the European Central Bank has already made the decision to phase out