I happened to come across an article in a Pakistani newspaper wherein the author elaborated black money and its ill effects on economy. In doing so he explained black money in detail, however he failed to grasp the ground realities in this regard. Although, It is challenging to identify any direct positive impacts of black money on the economy, yet one must not ignore both the side of coins. Black money is generated through illegal or unethical means and kept hidden from government authorities. Its existence is generally associated with detrimental effects on the economy. However, it is worth mentioning that there are some arguments that suggest potential indirect positive impacts in specific situations, although these arguments are subject to debate. Here are a few points that some proponents might put forward: Liquidity Injection: It is argued that black money can provide a source of liquidity in certain sectors of the economy, especially in cash-based industries. The infusion of unaccounted funds can increase spending, stimulate demand, and potentially support economic activities in the short term. However, these benefits are often outweighed by the negative consequences associated with black money, such as reduced tax revenues and distorted economic data. Employment Generation: the underground economy, fuelled by black money, may contribute to job creation in certain sectors where formal employment opportunities are limited. This is particularly true for unregistered or informal businesses that operate outside the legal framework. However, it is important to note that these jobs often lack legal protection, social security benefits, and fair labour practices, which can perpetuate exploitation and inequality. Innovation and Entrepreneurship: Some argue that black money can provide a source of initial capital for entrepreneurial ventures. In situations where access to formal financing is limited, individuals may rely on their hidden funds to start new businesses. However, this argument must be weighed against the negative aspects associated with illegal activities and the overall impact on the economy, including reduced tax revenues and market distortions. It is crucial to emphasize that any potential positive effects of black money on the economy are heavily outweighed by the broader negative consequences. These negative impacts include reduced tax revenues, increased economic disparities, distorted economic data, weakened governance, and risks to the financial system. Furthermore, efforts to combat black money focus on promoting transparency, fairness, and accountability within the economic system, which are essential for sustainable economic growth and development. The writer is an Australia-based international relation expert and can be reached at: @tanzeelshraz.