Mutual credit and mutual insurance policies have been the unexpected beneficiaries of India 's crackdown on cash transactions last year , the country 's central bank has said . Following a study after demonetisation in 2016 , the Reserve bank of India said there has been a " distinct increase " in funds flowing into investment vehicles . A reduction in bank interest rates after the move , along with a fall in the price of gold , “ enhanced the relative attractiveness of both debt and credit - backed mutual funds ” . Premiums paid to life insurers increased by 46 % in the period November to June 2017 over the same period 12 months before .
Mutual funds and life insurance policies have been the unexpected beneficiaries of India's crackdown on cash transactions last year, the nation's central bank has said. Following a study after demonetisation in November, the Reserve Bank of India said there has been a "distinct increase" in funds flowing into investment vehicles. A reduction in bank deposit rates after the move, along with a fall in the price of gold, “enhanced the relative attractiveness of both debt and equity-oriented mutual funds”. Premiums paid to life insurers increased by 46% in the period November to June 2017 over the same period 12 months before.