The Age Of Stars

Sensex; INR · 29 September 2016

Surgical strikes announced

Sensex −465 pts (−1.64%); rupee −39 paise to 66.85

See CONFLICT.

ReportedPress. Source: Business Standard / PTI 2016-09-29

Currency in circulation; equities · 8 November 2016

Demonetisation of INR 500 and 1,000 notes, announced at 20:00 IST

Notes withdrawn: INR 15.44 lakh crore (86% of currency by value). Returned: INR 15.31 lakh crore (99.3%), per the RBI Annual Report of 2018-08-29.

The government had expected ≈INR 10 lakh crore at most to return. On 2016-11-09 the Sensex fell as much as 1,689 pts intraday (also hit by Trump's election) and closed −338.61 (−1.23%) at 27,252.53. It lost 1,825 pts over the next eight sessions.

ReportedOfficial record. Source: Wikipedia "2016 Indian banknote demonetisation" (citing RBI AR 2017-18); Business Standard / PTI 2016-11-09; Quartz 2018-08

Constitution (101st Amendment) Act: GST enabling

Assented 2016-09-08. Created the concurrent GST power and the GST Council.

ReportedOfficial record. Source: 101st Amendment Act text; Vajiram / Testbook summaries

Demonetisation: trade effect

Announced 2016-11-08. The cash crunch hit informal and rural demand

In 2016-11 gold imports rose 23.2% year on year to USD 4.36 bn and the trade deficit widened to ≈USD 13 bn, a two-year high. Exports in 2016-12 still grew 5.7% to USD 23.885 bn. The effect was short-lived (2016-11 to 2017-01). No trade instrument was changed, so recorded as neutral.

ReportedOfficial record. Source: Business Standard (commerce ministry monthly data, 2016-12 and 2017-01); RBI "Macroeconomic Impact of Demonetisation – A Preliminary Assessment" (2017-03)

South Asia

Surgical strikes" across the LoC after the Uri attack

Sensex fell ~1.6% on 2016-09-29 (reported); short-lived

ReportedPress. Source: Indian Army DGMO statement; BSE data

India / Pakistan

Pathankot air base attack

7 security personnel, 1 civilian and 6 attackers killed. It derailed the India–Pakistan dialogue that followed Modi's 2015-12-25 stop in Lahore.

ReportedPress. Source: Wikipedia "2016 Pathankot attack"

India / Pakistan (Kashmir)

Uri attack and cross-LoC "surgical strikes

19 soldiers killed at Uri. When the strikes were announced on 2016-09-29, Sensex −465 pts (−1.64%), Nifty −1.76%, rupee −39 paise to 66.85. Markets recovered within days. India also suspended the Indus Commission talks and pushed to isolate Pakistan diplomatically (SAARC summit in Islamabad cancelled).

ReportedPress. Source: Business Standard / PTI 2016-09-29; Wikipedia "2016 Uri attack"

aviation lending (public-sector banks, IDBI)

Vijay Mallya / Kingfisher Airlines (left India 2016-03-02)

Kingfisher was grounded in 2012. Mallya flew to the UK on 2016-03-02, the day before the banks asked the Supreme Court to stop him. The UK Home Secretary ordered extradition on 2019-02-04. He was declared a fugitive economic offender in 2019. Recoveries were later reported at ≈INR 14,000–15,000 crore (Bombay HC 2026-08, reported; amounts disputed).

ReportedPress. Source: Hindustan Times 2016-03-10 (Centre tells SC); Al Jazeera 2019-02-04; Business Today 2026-08-14