Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 150
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 151
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Warning (512): Unable to emit headers. Headers sent in file=/home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php line=853 [CORE/src/Http/ResponseEmitter.php, line 48]
Warning (2): Cannot modify header information - headers already sent by (output started at /home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php:853) [CORE/src/Http/ResponseEmitter.php, line 148]
Warning (2): Cannot modify header information - headers already sent by (output started at /home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php:853) [CORE/src/Http/ResponseEmitter.php, line 181]
LATEST NEWS UPDATES | 99% of scrapped notes back with banks, says RBI report

99% of scrapped notes back with banks, says RBI report

Share this article Share this article
published Published on Aug 31, 2017   modified Modified on Aug 31, 2017
-The Times of India

MUMBAI: The Reserve Bank of India (RBI) on Wednesday said that Rs 15.28 lakh crore --or 99% of the Rs 15.44 lakh crore demonetised by withdrawal of Rs 500 and Rs 1000 notes on November 8, 2016 --has been deposited with banks.

Thedisclosure dashes hopes of the government earning a windfall by extinguishing trillions of rupees worth demonetised currency that has not been returned.

In its annual report, the RBI said that the number of returned notes does not include the money collected by district central cooperative banks and from the notes deposited by citizens and financial institutions in Nepal, which are likely to be accepted.

To make matters worse, the central bank's printing costs have more than doubled to Rs 7,965 crore in 2016-17 from Rs 3,421 crore in the previous year and its interest income was hit due to demonetisation.

The RBI has been tentative in releasing data on the currency received, stating that the number is only estimation. According to the RBI, some of the returned money is still lying uncounted in currency chests.

Till such time these notes are processed by the RBI for their numerical accuracy and authenticity, onlyan estimation of specified banknotes received back is possible," the RBI said.

Instead of boosting earnings, demonetisation has turned out to be a drain on the central bank's finances.

RBI'sinterest income dropped 10% to Rs 66,051 crore from Rs 73,543 crore in the previous year. RBI said income from domestic sources fell 17% to Rs 43,232 crore as it had to pay out more interest on the money that it mopped up from banks as part of liquidity management post demonetisation.

As a result, RBI's dividend to the government for2016-17 halved to Rs 30,659 crore from Rs 65,876 crore in the previous year. Dividend was also lower because RBI chose to transfer Rs 13,000 crore to its contingency fund — a first in three years.

Unearthingof fake currency through demonetisation has also turned out to be muted. RBI said that 3.7 lakh pieces of Rs 500 fake notes (old design) were detected and in the case of Rs 1,000, currency notes 2.56 lakh pieces were detected.

Please click here to read more.

The Times of India, 31 August, 2017, http://timesofindia.indiatimes.com/business/india-business/99-of-scrapped-notes-back-with-banks-says-rbi-report/articleshow/60299647.cms


Related Articles

 

Write Comments

Your email address will not be published. Required fields are marked *

*

Video Archives

Archives

share on Facebook
Twitter
RSS
Feedback
Read Later

Contact Form

Please enter security code
      Close