Massive Queues At Banks, Millions Rush To Exchange Banned Notes

Union Finance Minister Arun Jaitley has categorically said that people depositing legitimate money previously withdrawn from the bank or that has been legally earned, saved and disclosed have nothing to worry about.

Indians crowd a gas station, one of the few places still accepting the high denomination 1000 and 500 currency notes, in New Delhi, India, Tuesday, Nov. 8, 2016.

There will be no limit on the exchange from November 25 to December 30.

Withdrawal limits - Rs 2,000 a day from ATM per card and Rs 10,000 through bank account on a day and Rs 20,000 in a week, will continue for some time, he said.

Clarifying on the issue, an executive of the bank said, "We are facing liquidity crisis".

The RBI, in the aforementioned letter, has said: "In order to meet the anticipated heavy demand from members of public to conduct their banking transactions, it has been decided that banks shall remain open for public transactions on Saturday, November 12 and Sunday, November 13, 2016". You can deposit the old notes at any branch till 30th of December and after that, you can change the currency from RBI specified offices.

This also started to change for some.

"Most transactions of farm commodities are conducted in cash and since cash is not available we are not able to sell", said Rohan Ursal, a trader based in Pune in the western state of Maharashtra. This is really disgusting.

"Banning black money is ok, but certainly not this way".

Major queues built up outside cash machines on Tuesday evening ahead of the midnight close as customers tried to withdraw 100 rupee bills.

In Kolkata, people feared that there might not be adequate supply of new notes. Bank employees are having a tough time to manage the customers.

The 500 and 1,000 notes, which are worth around $7.50 and $15, are the largest notes in use in India which is still a heavily cash-intensive economy.

There was an incident of minor scuffle in front of a bank in Howrah over entering the bank premises.

The government plans to print new 500 and 2,000 rupee notes, which will be rolled out later in the week.

Indians awakened to confusion Wednesday as banks and ATMs remained closed after the government withdrew the highest-denomination currency notes overnight to halt money laundering in a country where many in the poor and middle-class still rely mainly on cash.

- Any bank can be approached with valid ID proof for exchange up to Rs 4,000.

Huge rush and long serpentine cues were witnessed at banks on Thursday, which opened after a day's break, as people jostled to get lower denomination currency and new banknotes to pay for their daily basic needs. "There is no separate queue for senior citizens", an elderly woman at a Bank of Baroda branch in Surat said. "We are hoping to get some directives". Maximum staff should be deployed for this goal.

Anxious customers also crowded at post offices.



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