Take Rs 200 notes to ATMs, RBI tells banks

The Reserve Bank of India  has ordered banks to recalibrate ATMs to confirm that a lot of numbers of the Rs. 200 denomination note is distributed to the overall public as a part of its efforts to improve provide of lower denomination notes.

Two folks conversant in the matter same that the industry is probably going to pay over Rs 110 large integer in implementing the regulator's order.

"RBI has asked banks and ATM makers to confirm that ATMs begin dispensing Rs 200 notes as presently as potential, it is a smart move as we'd like lower denomination notes vis-a-vis Rs 2000 notes," same a banker attentive to the direction however failed to need to be known. "It might take 5-6 months to completely implement this project."


RBI failed to reply to a mail seeking response on the matter.


The central bank's move comes amidst criticism that the terribly purpose of conclusion of Rs. 500 and Rs. 1,000 currency notes in 2016 to curb corruption by Prime Minister Narendra Modi is being defeated with the circulation of an enormous variety of Rs. 2,000 notes.

Reducing Average price ticket Size of Withdrawals
The banking company could also be trying to bring down the common price ticket size of withdrawal from the ATMs that had gone up within the last one year, attributable to the provision of Rs 2000 notes in ATMs, say bankers.

Data shows that total price of money withdrawn through ATMs has gone up to Rs 2.44 hundred thousand large integer at the top of Sept 2017 against Rs 2.22 in Sept 2016.

Since the Narendra Modi government prohibited recent Rs five hundred and Rs a thousand notes on November 8, 2016, the currency in circulation has reached ninety fifth of the pre-ban levels and is presently at Rs 17,00  thousand crores, tally knowledge shows.


The banks that are reluctant to tweak ATMs which might got to bear associate calculable price of over Rs. 110 crores to recalibrate the over 2.2 hundred thousand ATMs in Asian nation. the whole exercise is anticipated to be complete by next half-dozen months.


ATM trade veteran Loney general same the work of recalibration has simply begun.


"It could be a planned approach now,'' same general, MD - Hitachi Payment Services. ``We got to determine clusters of ATMs and calibrate them. If this happened during a rush, could also be the price would are higher, however it's all planned.''


The exercise can involve installation of spacers to regulate the currency size. consistent with estimates average recalibration price per ATM would be roughly Rs 5000.

In July last year the tally had stopped printing Rs 200 notes in favour of printing Rs 200 and alternative lower denomination currencies. Since, Sept Rs 200 were created obtainable within the bank branches however were however to succeed in the ATMs attributable to the recalibration issue.

For More Detail:- http://www.adviserstreet.com/
Contact Us:- 08818888127