Mumbai: India Prime Minister Narendra Modi announced, on Tuesday that the government has rendered Rs 500 and Rs 1,000 notes redundant, effective from Wednesday.
This decision by the government is mainly aimed at curbing the circulation of black money in the country.
While this decision will render most of the bigger currency redundant, people who hold Rs 500 and Rs 1000 notes can still get their money exchanged from the banks, till December 30.
However, the holders of black money will face the heat of this move, as anyone who tries to exchange the old notes for the new ones, will have to produce their identification at the banks.
Also, a cap of Rs20,000 per week has been kept for exchanging the notes. This means that a person can exchange a maximum amount of Rs 1.6 lakh till December 30.
However, anyone who deposits any amount of money in their bank account, as to disclose the details to the government. Hence, black money holders will either be caught, or have their cash rendered redundant from Wednesday, November 9.