Bengaluru: RBI sources claim that following poor demand for Rs 2,000 notes, it is planning to print more notes of Rs 100, Rs 20 and Rs 10 denominations.
An officer on condition of anonymity told this newspaper that there is great demand for lower denomination currency notes. “Those who are making large amount payments are opting for either cheque or net banking. So Rs 2,000 notes have very few takers and hence we are planning to print more lower denomination notes,” he said. RBI sources said the state may get newly introduced Rs 500 notes only from next week as they are neither available nor printed in sufficient numbers.
Most ATMs shut due to lack of cash
Though RBI, banks and the union government are claiming that most ATMs were functioning across the state, in reality more than half of the city ATMs are not dispensing cash. According to the bank officials, problem is non-availability of cash at par with the demand. According to several bank managers, especially those from PSU banks, though ATMs have been calibrated to dispense new Rs 2,000 and '500 denomination notes, they are not functioning due to cash shortage. “According to our estimation more than half of the city ATMs are still not dispensing cash. We need minimum one more month to ensure there is enough cash in all the ATMs,” explained a bank manager.
Rs 500 notes: Missing in action
Nearly a month after demonetisation of currency notes of Rs 500 and Rs 1,000 denomination, Bengaluru residents are finding it difficult to carry out cash transactions due to acute shortage of new Rs 500 notes. Though the central government and Reserve Bank of India (RBI) have announced that they have been printed and released, in reality they are not available in the banks in the city.
According to the city residents and bankers, RBI has not been circulating the new Rs 500 notes in the city for some unknown reasons. According to a bank officer, who wished to be anonymous, on November 23, they received few bundles of Rs 500 notes. “On day one of the distribution itself we received complaints regarding printing mistakes. Since then, we are not receiving Rs 500 notes. This is the one major reason why people are still struggling,” he said.
Bank sources said RBI has stopped distributing Rs 500 notes following complaints. “Instead currency notes of Rs 2,000 and Rs 100 denomination are being distributed in the state to ease the situation. But in reality Rs 500 notes are very much necessary to stablise the market,” said another bank officer. “Even in the ATMs, Rs 2,000 notes are filled. Only a handful of ATMs are filled with Rs 100 notes,” he added.
But for the common man carrying out cash transactions with a Rs 2,000 note is a struggle. “Rs 2,000 denomination notes are available in several bank branches and ATMs. But shops and other places people are declining to accept these notes saying they don't have change. There is also the fear of fake currency. If central government and RBI does no fix this problem at the earliest, it may create a lot of problems for general public,” says Ranganath Rao, a retired economics professor. RBI officials were not available for any comment.
