Rs 200 Notes Won’t be Circulated Through ATMs

Rs 200 Notes Won’t be Circulated Through ATMsThe Reserve Bank of India has placed an order for the printing of the new Rs 200 note in India to plug the paucity in lower dominations post demonetization. While it is believed that the introduction if the new currency note will fill in the huge demand of cash flow across the nation, it is also being reported that the RBI may not allow ATMs to dispense new Rs 200 currency note once they come in full circulation.

If reports are to be believed, RBI does not want to dispense the new currency note of Rs 200 through ATM rather they want them to be circulated only through banks. A report by Hindustan Times said, “RBI has proposed to circulate the new Rs 200 banknotes only through bank branches, similar to the way Rs 50 and Rs 10 notes are circulated.”

This move is aimed at avoiding chaotic recalibration process similar to the one that followed after the demonetisation of old Rs 500 and Rs 1000 banknotes in November last year. It is being believed that Rs 200 note will ease day to day transactions as people will be able to withdraw lower currency notes. Did you know that post demonetization, approximately 90% of the 2 lakh ATMs that were present across the nation were re-calibrated to dispense the new currency?

The Rs 200 currency note is the fourth new note that is announced by Prime Minister Narendra Modi. The other three denomination notes that are already in circulation include Rs 1 note, Rs 2000 and Rs 500 note. With the government working on the currency mix, the introduction of lower domination note comes as a relief for people. The process of printing of new Rs 200 notes is likely to begin very soon and this decision was taken by RBI with the consultation of Finance Minister in March. RBI aims at improving the current situation of lower denomination notes in India.