There may still be serpentine queues outside ATMs in other States, 17 days after Prime Minister Narendra Modi declared crackdown on the black money by demonetising Rs 1000 and Rs 500 notes, giving leeway to the Opposition to demonise the move, but Jharkhand is fast pulling off smooth transition to re-monetisation.
The State Government swung into action soon after the high value notes were banned and worked in tandem with RBI and various banks in order to ensure availability and distribution of new currencies. The result is that the people in Jharkhand, particularly in urban areas, are not complaining much of the cash crunch due to demonetisation of Rs 1000 and Rs 500 notes.
Development Commissioner cum Additional Chief Secretary (Finance) Amit Khare told The Pioneer that the situation in urban areas has turned more or less normal as we have ensured that the cash reaches to people’s hands. “Now, our immediate challenges are how fast banks could reach out to the rural population and also make available new Rs 500 notes in the ATMs,” he pointed out.
Around 2174 ATMs in the State were active and 1193 ATMs not active. 1370 ATMs have been recalibrated for Rs 500 and Rs 2000 currency notes so far.
Khare said that soon after the high value notes were banned on November 8, our focus was on three points--first, to ensure security to banks and currencies; second, convenience to common masses and third, stopping misuse of currencies by anti-socials and extremists.
“We provided full security to the banks for currency management and deployed choppers to bring currencies from RBI Patna to Ranchi, Jamshedpur, Bokaro and Deoghar on November 11-12. Rs 1000 crores were transported by train from Patna on November 13,” he added.
In all, the RBI has pumped in around Rs 4000 crores new currencies to tide over the note ban difficulties. The deposits and exchange of the old Rs 1000 and Rs 500 notes in the banks have been to the tune of around Rs 8,000 core so far.
“Besides, Chief Minister Raghubar Das also made an appeal to voluntary organizations and religious bodies to deposit their savings in small denomination notes in banks for the convenience of public,” he added.
Khare said that the State Government was aware of the difficulties being faced by the rural population. “So, the State Government in coordination with RBI and banks decided to constitute and send a mobile team to around 102 villages with population of over 5,000 but not covered by any bank. Banks are trying to overcome them by supplying cash through Business correspondents, mobile vans, Micro ATMs. There are around 3,478 BCs active in the State,” he pointed out.Besides, banks in rural areas were directed to extend services exclusively to women self help groups on Tuesdays from 10 am to 12.
The limit of cash handling by a business correspondent has been increased to Rs 50,000, he added. Banks were also directed to distribute currencies to the army and para military forces right in their camps and cantonments.
State level Bankers Committee (SlBC) General Manager Prasad Joshi also said that the transition in Jharkhand has been smooth as the State Government arranged strong logistics to make the new notes readily available and distribute them well. “We have also requested RBI to make us Rs 500 notes available, which we expect to hit the ATMs next week,” he added.
“Banks are also following up with vendors for early recalibration of the rest of active ATMs with the help of the Information Technology department,” he said.
Altogether 41 public and private sector banks have 2974 branches in the State, including 1519 in rural areas, 765 in semi urban and 690 in urban areas.