Summary of the important announcement :
1. Black money issue, 500 rupees and 1000 rupees banned from Midnight.
2. ATM’s wouldn’t wouldn’t work on 9th and 10th November. Rather the withdrawal limit is Rs. 2000 only.
3. All Residents have option till 30th December 2016, to deposit their existing cash balance of 500 and 1000 rupees in their bank accounts.
4. ATM withdrawal is limited post 11th Nov to 10000 per day, but initial few days it would be 2000 Rs. Only.
5. Emergency periods like hospitals and chemist, train ticket booking and airline ticket booking, petrol pumps may accept the old notes to 11th November.
6. No changes in online, card, cheque or any other plastic money transactions.
7. 9th November, banks wouldn’t be available for public banking services.
8. New notes of 500 rupees and 2000 rupees would bring in circulation, mostly from 31st March 2017.
9. This one is not clear, but old notes can be exchanged with RBI till 31st March 2017. I guess post 30th December.
Prime Minister Narendra Modi on Tuesday announced that currency notes of Rs 500 and Rs 1,000 denominations will cease to hold any legal tender at midnight, from November 9.
PM Modi said the drastic step is aimed at rendering large reserves of black money invalid. The move, PM Modi said, is meant to curb the negative effects of corruption, black money, fake currency and terrorism on the country’s economy.
He also announced that the Reserve Bank of India would soon release and circulate new notes of Rs 500 and Rs 2,000.
Here’s what the new Rs 500 and 2000 note will look like:
2000 Rupees Note 2017
Modi said the notes of Rs 500 and Rs 1000 “will not be legal tender from midnight tonight” and these will be “just worthless piece of paper.” However, he said that all notes in the 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. He also announced that new notes of Rs 2000 and Rs 500 will be introduced.
The prime minister expressed confidence that the staff of banks and post offices will rise to the occasion to introduce the new order within the available time. He said he is hopeful that political parties, workers, social organizations and the media will go further than the government in making it a success.
“Banks will be closed tomorrow. It will cause some hardship to you….Let us ignore these hardships… In country’s history, there comes a moment when people will want to participate in the nation-building and reconstruction. Very few such moments come in life,” Modi said.