Bangalore: When the PM Narendra modi, did a surgical strike on the black money most of the Indians applauded this great initiative by our prime minister. But have many of the Indians have thought what we have they done in the contribution to help the PM to take more such initiative.

Effect, on black money strike is going to be mixed. While fake currency taking a lethal hit, the same cannot be said about black money. Black money-related transactions appear to have been a late night Diwali gift to some and the dawn of new business opportunities for others.

Have we Indians not become a Jugaad Indians, who knows how to manage anything and everything? Whatever black money we have can be converted into white, we have this idea and people are trying to prove this even.

Jugaad one: Gold god

One of the indicators of the late night bounty on Tuesday, 8 November 2016, was the rise in price of gold. Gold prices soared by more than 5 percent on Tuesday during European hours. In local markets, price of 10 gm of gold rose from Rs 30,000 to Rs 34,000 on Tuesday night and has since risen up to Rs 60,000 in certain areas.

How it works: Old currency notes of Rs 500 and Rs 1,000 are taken by the jewelers. Proper receipts of money received are maintained of dates of 8 November or prior to it. For purchases below Rs 2 lakhs, there is no need of PAN card and hence no traceability. Multiple receipts with amounts less than Rs 2 lakhs are easily made. Jewelers will deposit this money in the banks in regular manner until 30 December 2016 or also until March 2017 with special reasons. For an odd chance of scrutiny, they have all the paper work.

Jugaad Two: money changers

Many are using the people below poverty line persons to operate their Jan Dhan Yojana accounts. Deposits of banned currency below Rs 2.5 lakhs will get made using old currency notes. These money-changers are offering to provide the money back by around December 2016 and in some cases in March 2017.

It seems recouping the black money by its hoarders, is not at all unachievable. Estimating the total value of Rs 500 and Rs 1,000 around 14 lakh crores, it requires only around 20 percent of existing 25.45 crore Jan Dhan accounts (as on 2 November, 2016), each depositing around Rs 2.5 lakh of old currency notes to recoup entire money back with newer notes.

In the end, estimated 20 percent no-shows of currency notes may be a serious underestimation of Indian jugaad. Fake money will be gone, but black money will remain and that too in newer currency notes.