Real Estate, Mobile Phones, Cars: Currency Ban Batters All Sectors

In the first real evidence of the impact of demonetisation on economy, data coming in on Thursday showed a sharp drop in consumer purchases in November, with mobile phones, FMCG, home appliances, real estate, and cars bearing the brunt.

There is hope of a recovery once the cash crunch ebbs, but, for now, the news is grim. Sales of fast-moving consumer goods (FMCGs) – soap, detergent, toothpaste and cosmetics – were down 30% in November over the period last year.

A drop in car sales varying from 15% to 40% has been reported by dealers. Small towns, where mobile phone business was booming just a few weeks ago, have seen a 70% drop while 35% fewer phones were sold in cities.

Real estate  reported a 50% fall in inquiries, 30% in resale prices, and 20% in searches online and air tickets sold 15% less in November, forcing carriers to cut average fares on the 11 busiest routes by 20% to 30%..

Original Source: http://bit.ly/2gszXRT