No plans to extend December 30 deadline for deposit of old notes: Government
| Nov 29, 2016 06:28 pm
An Indian vendor displays wallets made from replica prints of the demonetised 500 and 1000 INR currency notes prints for sale at a stall in Mumbai on November 22, 2016.
India's Prime Minister Narendra Modi announced on November 8 that that 500 and 1,000 rupee ($7.50, $15) bills -- 85 percent of the cash in circulation -- would cease to be legal tender in a crackdown on fraud and tax evasion. The move -- which saw the notes withdrawn from circulation just hours after the announcement -- was initially welcomed, but frustrations have mounted in the largely cash-reliant country where millions have been left without enough to cover their daily needs.
/ AFP PHOTO / INDRANIL MUKHERJEE
New Delhi: The government is not considering extending the December 30 deadline for depositing the demonetised Rs 500 and Rs 1,000 notes, whose demonetisation was announced on Novemeber 8, Parliament was informed on Tuesday.
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“No such proposal for extension of deadline beyond December 30, 2016, is presently under consideration of the government,” Minister of State for Finance Arun Ram Meghwal told the Rajya Sabha in a written reply.
He also said that sufficient cash is available with the Reserve Bank of India (RBI) and the banks.
“There is sufficient cash available with the Reserve Bank of India and banks. Circulation of notes in respect of Rs 100 has already been increased,” he said.
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To cater to the requirement in rural areas, banks have been advised to supply smaller denomination notes of Rs 100 and less, the minister added.