Demonetization and Its Effects on Consumer Investment Behavior in Postal Saving Schemes: Evidence from Agra Region

Abstract

This study examines how the effect of demonetization has influenced consumer behavior of the Indian Postal Saving Schemes in Agra especially on financial inclusion and the use of digitals. The analysis ads to the utilization of primary and secondary data to conclude that the introduction of demonetization triggered a visible change in informal to formal methods of savings, with the postal schemes becoming safer and available to use. Moreover, movement to digital platforms improved the elements of trust, user-friendliness and efficiency, which kept consumers involved in postal financial services. These findings are supported by secondary evidence according to which the country is shifting to formal savings as a result of demonetization. These findings highlight the twofold nature of demonetization and digitalization in the establishment of the localized patterns relating to consumer savings.