Govt says ready with cash for pay day rush

More than 1.6 lakh ATMs recalibrated across country

Banks with salary and pension accounts are getting 20 to 30% extra cash to deal with the increased demand as December begins.

The government is also making arrangements to fly cash at regular intervals to Tier II and III cities and rural areas. Army helicopters will deliver cash in time, an official said.

More than 1.60 lakh ATMs across the country have been recalibrated and mobile vans with ATMs are being sent to minimise queues in front of banks and ATMs, he told DH.

Salaries are usually disbursed between November 30 and December 7. According to official reports, till Monday evening, IAF planes had transported 210 tonnes of currency from the printing press to Reserve Bank of India centres for disbursal to various bank branches.

Banks are also being provided with more hands to deal with the usual surge in demand for cash in the first week of every month. They have been asked to open additional counters.

Officials said the printing of Rs 500 notes had been stepped up, with Rs 2,000 notes being printed less frequently. The printing of Rs 100 notes has gone up 150% since the demonetisation announcement on November 8, they said.

The government banned Rs 500 and Rs 1,000 currency notes on November 8 in a move to check black money and counterfeit notes.

According to top officials, the Finance Ministry is in constant touch with the RBI to monitor the ground situation. In order to make the cash flow smooth for pay day, the government had also ordered a squeeze of currency supply to banks for the last couple of days.

Meanwhile, the All India Bank Employees Association has said people were locking out bank branches in Bihar, Uttar Pradesh and Tamil Nadu and abusing staff as enough cash was not available. The association has also sought police protection at bank branches.