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LATEST NEWS UPDATES | 6 months of demonetisation: Cash back to being king, shortage at ATMs continues -Suchetana Ray and Mahua Venkatesh

6 months of demonetisation: Cash back to being king, shortage at ATMs continues -Suchetana Ray and Mahua Venkatesh

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published Published on May 10, 2017   modified Modified on May 10, 2017
-Hindustan Times

Prominent Indian banks have claimed there is no cash crunch, but fact remains that ATMs run dry during long weekends. The crisis began in November when the Union government pulled 500 and 1000 rupee banknotes from circulation as a part of its crackdown on black money.

New Delhi: It has been six months since demonetisation, but, “Is there cash in the ATM?” continues to be the most popular question among Indians, even today.

Though prominent Indian banks claim that there is no cash crunch and the currency in circulation is in keeping with demand, but they also agree that ATMs run dry during long weekends.

On November 8, 2016 the Union government yanked out Rs 500 and Rs 1000 banknotes, 86.9% of the money in circulation.

This caused long queues outside ATM kiosks and banks for several months.

The shortage at ATMs had eased in January with the government pumping new 500- and 2,000-rupee notes into the system.

But cash logistics companies claim the supply is still inadequate, a view even endorsed by citizens.

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Hindustan Times, 8 May, 2017, http://www.hindustantimes.com/business-news/6-months-of-demonetisation-cash-back-to-being-king-shortage-at-atms-continues/story-eCPruPrbI9axxx0uAx7exO.html


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