Narendra Modi

Modi bans Rupees 500 and 1000 currency notes. Surgical Strike and Swach Aharat Abhiyan both taken together!

What actually happened?

  1. Rs. 500 and Rs. 1,000 notes become invalid from Midnight of 8 November i.e.they are now just a piece of paper.
  2. But all notes in lower denomination of Rs 100, Rs 50, Rs 20, Rs 10, Rs 5, Rs 2 and Re 1 and all coins will continue to be valid.
  3. They must be deposited, starting Thursday till December 30, at post offices and banks.
  4. The public will thus have 50 days time between 10 November and 30 December to deposit old notes of Rs 500 and Rs 1,000.
  5. ATM withdrawals will be restricted to Rs 2,000 per day.
  6. Withdrawals from bank accounts will be limited to Rs 10,000 a day and Rs 20,000 a week, for now.
  7. There will be no change in any other form of currency exchange be it cheque, DD, payment via credit or debit cards etc.
  8. Read the next post on the impact of this move across the various sectors.