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Demonetisation: Banks say queues are getting shorter, but still a long wait for some

MUMBAI: A week on from Prime Minister Narendra Modi’s move to scrap Rs 500 and Rs 1000 notes to counter black money, counterfeiting and corruption, bank chiefs said the situation was easing although their optimism seemed to be belied by reports from around the country about long queues, shortages of Rs 100 notes and cash dispensers that worked sporadically, if at all. A bank holiday on Monday in the north and east exacerbated the situation on Tuesday.

Meanwhile, the Supreme Court declined to stay the measure but asked the government what it was doing to alleviate the misery of people stuck in lines or those who don’t have enough cash on hand for everyday expenses.

For its part, the government said those exchanging old notes for new would now be marked by indelible ink to prevent money laundering. Also, a high-powered group has been set up under the cabinet secretary to monitor the supply of essential goods in the wake of trade disruptions due to the shortage of currency notes.

Besides, another task force with officials from various agencies has been constituted to monitor the circulation of fake currency notes in some vulnerable areas and to keep a watch on black money being deposited in the system, Economic Affairs Secretary Shaktikanta Das said, giving details of the decisions taken at a review meeting chaired by PM Modi on Monday night.

State Bank of India Chairman Arundhati Bhattacharya told ET that queues had become shorter on Tuesday barring locations where Monday was a holiday, but things eased up even there by afternoon. “Situation on the ground is much better in most states,” she said. “Few places like Mumbai, the queue is much smaller.

Other centres like Delhi, Kolkata and Bengaluru are still seeing long queues. Rest of the states are reporting much lower turnout. The anxiety among customers has come down.”

16TH NOVEMBER, 2016, THE ECONOMIC TIMES, NEW DELHI

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