Govt has no plans to introduce Rs1,000 currency notes: Shaktikanta Das
- Author: Zachary Reyes Feb 22, 2017,
Feb 22, 2017, 12:53
Although speculations of reintroducing Rs 1000-note have been put to rest by Government of India, but they have surely raised the mercury across the country.
His clarification followed media reports that the government was planning to re-introduce Rs 1,000 notes with a new design.
He addressed the issue of the ongoing cash shortage at ATMs.
"Request people to draw cash they actually require". The government had then introduced new Rs 500 and Rs 2,000 notes.
"Complaints of cash out in ATMs being addressed".
A senior government official divulged to a leading journal that the government had already started printing the notes but high demand of Rs 500 notes shoved it at the backburner.
"Overdrawal by some deprives others", he said. It is also worth noting that images of Rs 2000 notes had leaked before it was launched.
The move led to a massive currency squeeze, since the government did not have enough notes to replace the ones that had been withdrawn, causing rural distress and an economic shock.
The decision on demonetisation took out Rs 15.44 lakh crore out of the market.
Although the government made moral arguments that people would not need cash beyond the withdrawal limits, people are finding it necessary or useful to withdraw beyond that.
Asked about the amount of scrapped currency received by banks post demonetisation, the finance minister said RBI Governor Urjit Patel had recently informed that the central bank would disclose the figure only after the process of currency verification is complete.