The Reserve Bank has appealed to the public not to panic. They are requested to actively co-operate in the withdrawal process.
The Reserve Bank of India (RBI) on Wednesday decided to withdraw all currency notes issued prior to 2005, including Rs. 500 and Rs. 1,000 denominations, starting March 31. The step was aimed at curbing black money and fake currencies in the country.
“From April 1, 2014, the public will be required to approach banks for exchanging these notes. Banks will provide exchange facility for these notes until further communication,” an advisory issued by the central bank on Wednesday said.
The size of India’s black economy is estimated to be about a third of its GDP. If hidden income of $500 billion (about 30 lakh crore) were to be disclosed and taxed at 33%, it would generate Rs. 10 lakh crore, enough to fund the food programme in the country for a few years.
The RBI asked the public to exchange currency notes that do not display year of printing on the reverse side. “…public can easily identify the notes to be withdrawn as the notes issued before 2005 do not have on them the year of printing on the reverse side.” The year of printing in a small font is visible at the middle of the bottom row in notes issued after 2005.
What about notes which has no date printed on Back side of it.
ReplyDeleteNotes which have no year of printing available on the reverse side are all pre 2005 notes and to be withdrawn.
ReplyDelete