Sound Effects of Factors Influencing and Macroeconomic Consequences of Money Laundering

In the present era money laundering is not an isolated case but it is a worldwide phenomenon and its take a grim dilemma between us. Recently, Government of India takes several steps to tackle the problem of money laundering in India. The aim of this research paper is to know what are the influencing factors of money laundering and impact of these factors on growth of emerging economies financial system. It also studies the one of the main reason behind the generation of black money i.e. lack of government policies. The flow of black money can seriously distress the entire economic system of India. India has emerged as more corrupt than three of its BRICS peers -- China (80th), South Africa and Brazil (both ranked 72nd), India ranks 94th on global corruption perception index and it deposited $1500 billion of its black money in Swiss bank. We can control the cohort of black money only by aggressive enforcement of law.