Govt lowers Rs 4500 limit for daily note exchange to Rs 2000, allows Rs 2.5-lakh withdrawal for weddings
In the latest announcement following demonetisation, the government has reduced exchange limit to Rs 2,000 and allowed marriage households to withdraw Rs 2.5 lakh from one account as well as farmers to withdraw up to Rs 25,000 a week.
Shaktikanta Das, Economic Affairs Secretary, informed the media on Thursday that following the cash crunch after the currency ban, the limit for swapping notes at banks has been reduced from Rs. 4,500 to Rs. 2,000 for each person.
Families can withdraw Rs. 2.5 lakh for weddings from one account and farmers can withdraw up to Rs. 25,000 a week, the government said today, announcing another set of measures to ease a massive cash crunch after the currency ban.
The limit for swapping notes at banks has been reduced from Rs. 4,500 to Rs. 2,000 for each person from November 18.
On the subject of other limitations, Das said that up to Rs 2.5 lakh can be withdrawn from KYC compliant accounts for marriage ceremonies. However, it is to be noted that only one member of the family, be it mother or father could draw up to RS 2.5 lakh for the wedding. Adding to it, he also said that Central government employees up to group C could draw a salary advance of up to Rs 10,000 in cash which would later be adjusted against their salaries in November.
Furthermore, Das said: “The government has decided to permit farmers to draw up to Rs. 25,000 per week against crop loans sanctioned and credited to their accounts.”
It is important that the bank account should be in the name of the farmer and Kisan Credit Cards would be the subject of the same limitations. He said that the government has come to the decision that the time limit on the crop insurance premium was to be extended by 15 days.
However, he assured public of enough cash available with Reserve Bank of India (RBI) and informed that the Task Force had earlier been in a meeting and a road map had been formed for the purpose. He said that it would be done soon.