PMC Bank's withdrawal limit enhanced to Rs 25,000

The Reserve Bank of India (RBI) has enhanced the withdrawal limit by the depositors of the Punjab and Maharashtra Co-operative Bank (PMC Bank) to Rs 25,000, amid a lot of hue and cry by the bank customers.

The central bank expects more than 70% of the depositors of the bank will be able to withdraw their entire account balance.

"The Reserve Bank of India again reviewed the bank’s liquidity position and, with a view to reducing the hardship of the depositors, has decided to further enhance the limit for withdrawal to Rs 25,000," the RBI said.

The apex bank said that it is monitoring the position of the bank and will continue to take the necessary steps in the interest of depositors.

The central bank had earlier enhanced the withdrawal limit from Rs 1,000 to Rs Rs 10,000.