1. Demonetisation: Old notes can be used by farmers to buy seeds, says RBI

Demonetisation: Old notes can be used by farmers to buy seeds, says RBI

The Reserve Bank of India on Monday announced that farmers were allowed to purchase seeds with the old denomination notes of Rs 500 from State or Cental government centres and outlets,

By: | Published: November 21, 2016 2:05 PM
demonetisation, farmers old notes, farmers use old notes to buy seeds, rbi allows farmers to use old notes,  overdraft account holders withdraw 5000, withdraw limit increased, demonetisation news, demonetisation update RBI said that farmers could now buy seeds from government outlets, PSUs etc using old notes,on production of identity proof. (PTI)

The Reserve Bank of India on Monday announced that farmers were allowed to purchase seeds with the old denomination notes of Rs 500 from State or Cental government centres and outlets, PSUs, National or State Seeds Corporations,Central or State Agricultural Universities and the ICAR,on the production of proof of identity. The RBI further stated that the holders of current, overdraft and cash credit accounts, operational for the last 3 months could now withdraw Rs 50,000 in cash in a week. The RBI also said that the enhanced limit of withdrawal of cash was not applicable for personal overdraft accounts. The RBI informed that withdrawals such as this could be disbursed predominantly in the denomination Rs 2000 notes.

The withdrawal limit at ATMs had earlier been increased to Rs 2,500 from Rs 2000 and the exchange limit at banks to Rs 4,500 from Rs 4000. The RBI had earlier also issued a statement asking the public not to panic and hoard money because there were sufficient new denomination notes available for them to exchange. Earlier, accusing RBI Governor Urjit Patel of creating ‘havoc’ in the Indian economy because of an unprepared decision to demonetise high-value currency, senior vice president of All India Bank Officer’s Confederation (AIBOC), D Thomas Franco, told The Indian Express that Patel should take moral responsibility for the issue and the several deaths, which include 11 bank officers in the last twelve days.

The government, along with the RBI has been under immense pressure from the Opposition and the general public who have been questioning the sudden implementation of the demonetisation policy, that has caused severe inconvenience to the common man and ‘resulted’ in the deaths of several people.

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