Daily withdrawal limit from the bank counters increased to control the chaos
With the public anger rising across the country over this limited cash availability, the government tonight has eased key restrictions, which include raising the daily withdrawal limit from the bank counters and ATM as well as hiking the amount of old and now defunct currency notes that could be exchanged.
Moreover, the augment cash supplies and newly printed hard-to-fake Rs. 500 notes were also released in the market.
After a review by the Finance ministry, the limit of old and now the defunct Rs. 500 and Rs. 1000 rupee notes that can be exchanged for Rs. 2000 and new Rs. 500 notes were increased from Rs. 4000 to Rs. 4500 per day.
Cash withdrawal limit at all the ATMs has been hiked to Rs. 2,500 from Rs. 2,000 a day.
The weekly limit which was of Rs. 20,000 for withdrawal from any of the bank counters has been increased to Rs. 24,000. The maximum limit of Rs. 10,000 per day on such withdrawals has been removed, the ministry said in a statement.
Use of mobile wallets and debit/credit cards
“Banks have been further advised to increase the issuance and use of mobile wallets and debit/credit cards as also to provide them to those customers and also establishments not having access to these non-cash means of payment,” it said.
Moreover, the last date for submission of the annual life certificate which is for government pensioners which is to be submitted in the month of November every year has been extended up to January 15, 2017.
The finance Ministry has also reviewed the position regarding the availability and distribution of notes of all denominations in different parts of the country.
Instructions have been further issued to the banks and post offices in order to ensure proper distribution of all notes, which includes those of smaller denominations, up to the last mile through mobile banking vans and Banking Correspondents (BCs) in order to ease the pressure.
Further, based on the review of the reports received from the States, banks and other sources, the ministry decided that continuous coordination is to be done with RBI, banks and post offices to make all denomination notes available at all locations.