Post demonetisation, the entire nation is scrambling to get their cash exchanged. However, the banks are unable to cope with the sheer volume of customers at the gate. Moreover, the amount of cash available is much less than the demand for it.
In order to cope with the shortage of cash and to prevent further accumulation of black money, the government has imposed strict limits on the amount that can be withdrawn from ATMs and bank branches. However, this has caused grave inconvenience for citizens who require cash for large expenditure such as weddings.
Most recently, the government announced that families celebrating weddings can make a one-time withdrawal of Rs 2.5 lakh from the bank. Here’s the statement from Economic Affairs Secretary Shaktikanta Das.
For wedding ceremonies, upto Rs 2.5 lakh can be withdrawn from the bank account which are KYC compliant: Shaktikanta Das pic.twitter.com/Riv4s5TUDg
— ANI (@ANI) November 17, 2016
Das further added that this withdrawal can be made only once by either the mother or the father.
However, Das also announced that the limit on over the counter exchange of old notes will be reduced from the 18th of November.
“For over the counter exchange of old Rs 500/1000 notes, with effect from Nov 18, Rs 4,500 limit will be reduced to Rs 2000.”
You could say Das’ latest announcement was kind of bittersweet. The relaxed norms on withdrawals for weddings will be some much-needed respite for households having wedding ceremonies. However, the reduced exchange limits may cause some inconvenience to people going about their daily businesses.
News Source: The Indian Express