RBI  remove cash withdrawal limits

RBI  remove cash withdrawal limits

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hqdefaultNew Delhi,08 February 2017-CNS:-Limits on cash withdrawals will be removed entirely from March 13, India's central bank said Wednesday, as it left interest rates on hold for the second time since a ban on high-value rupee notes.

The Reserve Bank of India capped cash withdrawals after Prime Minister Narendra Modi's shock decision in November to take all 500 ($7.40) and 1,000 rupee notes out of circulation to deter tax-dodging — 86 per cent of the currency in the cash-reliant nation.

The ensuing cash crunch saw long queues outside banks and ATMs, which ran dry within hours and left many without the means to buy food or daily essentials, especially in rural areas.

In a statement, the bank said withdrawal limits would be nearly doubled from 24,000 rupees to 50,000 from February 20 and removed altogether from March 13.

Limits on cash withdrawals will be removed entirely from March 13, India's central bank said Wednesday, as it left interest rates on hold for the second time since a ban on high-value rupee notes.

The Reserve Bank of India capped cash withdrawals after Prime Minister Narendra Modi's shock decision in November to take all 500 ($7.40) and 1,000 rupee notes out of circulation to deter tax-dodging — 86 per cent of the currency in the cash-reliant nation.

The ensuing cash crunch saw long queues outside banks and ATMs, which ran dry within hours and left many without the means to buy food or daily essentials, especially in rural areas.

In a statement, the bank said withdrawal limits would be nearly doubled from 24,000 rupees to 50,000 from February 20 and removed altogether from March 13.