It has been one month since the PM Narendra Modi demonetised higher currency notes on November 8. Here is the chronology of events happened during last one-month during this demonetisation move.
Nov.08 : PM Narendra Modi in his televised address to nation took decision to demonetise higher denomination Rs500 and Rs1,000 currency notes. Allowed exchange of currency up to Rs 4,000 allowed at banks, ATM withdrawal limited to Rs2,000. Also, announced that banks and ATMs will be closed on following day (ie 9th November).
Nov 9: Banks and ATMs closed. Government said old notes to be accepted at metro stations, ASI monuments, toll plazas and medicine shops, petrol pumps, crematorium. Government announced that now- delegalise currency notes Rs500 and Rs1000 will be accepted for making payments towards fees, charges, taxes and penalties payable to the central and state governments including municipal and local bodies, and other utility charges like water and electricity.
Nov.10 Banks reopen after a day. Massive serpentine queues outside banks and ATMs, as people gathered to deposit or exchange old currency.
Nov.12 Various reports of deaths attributed to waiting in the queues. The Sensex registered the biggest single-day fall in nine months.
Nov.13 Currency exchange limit raised to Rs4,500 and ATM withdrawal to Rs 2,500. Cash exchange limit over the counter increased to Rs 4500. The weekly limit for withdrawal from bank accounts increased to Rs 24,000, the daily limit is removed.
Nov. 14 Government extends existing exemptions for usage of old Rs 500 and Rs 1000 notes at various places up to 24 November midnight.
Nov.15 Government asked banks were asked to use indelible ink marks on those exchanging money, to deter people from coming again and again ; the election commission raises concerns.
Nov.16 Parliament session begins; opposition parties up in arms against the government over the suffering of the poor.
Nov.17 Currency exchange limit lowered to Rs2,000. Cash exchange limit over the counter reduced to Rs 2000. In case of a wedding, families allowed to withdraw up to Rs 2,50,000 from their own bank accounts.
Agriculture traders allowed to withdraw Rs 50000. Farmers are allowed to draw upto ₹ 25000/- per week in cash from their loan (including Kisan Credit Card limit) or deposit accounts subject to their accounts being compliant with the extant KYC norms
Nov.18 The Supreme Court observed poeple are “frantic” over demonetisation drive.
Nov.22 RBI says banks have received Rs5.3 lakh crore in deposits since November 8.
Nov 21 To further support farmers for the current Rabi crop, the government allowed farmers to purchase seeds with the old high denomination bank notes of Rs.500 from the Centres
Nov 23 The Central Government took various decisions for the benefit of farmers in the current Rabi Season and to promote digital payments in the economy. The government directed banks to waive debit card transaction charges till December 31 to encourage digital payment. To ensure quick and unhindered flow of credit and cash to farmers during the current rabi season, the government allowed Nabard to disburse Rs 21,000 crore through cooperative banks to farmers. Finance Ministry gave nod that people can deposit the now-invalid Rs 500 and Rs 1,000 denomination in their Post Office savings accounts, the. The ministry had earlier said the demonetised notes cannot be used for making deposits in small savings schemes. The government also doubled the monthly transaction limit through e-wallets to Rs 20,000.
Nov.24 Old notes can now only be deposited at banks and not exchanged. Old notes cannot be exchanged at banks. Only foreigners allowed to exchange currency up to Rs 5000 per week. Old notes of Rs 1000 cannot be used. Government allowed use of Rs 500 to pay for fuel, mobile recharges, water and power bills. Government-run school and college fees can also be paid with old notes of Rs 500.
Nov.27 RBI governor Urjit Patel justified demonetisation. He said the new notes are difficult to counterfeit.
Dec 1 Government clarifies that the apprehension sought to be created that the jewellery with the household which is acquired-out of disclosed sources or exempted income shall become taxable under the proposed Taxation Laws (Second Amendment) Bill, 2016, is totally unfounded and baseless
Dec. 2 Last day to use old Rs 500 notes at petrol pumps, toll plazas, air ticket counters
Dec. 3 Crisil cuts GDP forecast to 6.9% on note crunch. 1.80 lakh ATMs re-calibrated to dispense Rs 500, 2,000 notes