NEW DELHI: The first day of exchanging Rs 2,000 currency notes passed off largely peacefully as it was business as usual in most banks and there were no large crowds as seen in the aftermath of the 2016 demonetisation.
Note exchange was a low-key affair in Andhra Pradesh, Karnataka, Kerala, Odisha and Telangana, where people chose not to rush to banks to replace Rs 2,000 notes with lower denomination ones.
In Delhi, Chennai, Hyderabad and Vijayawada, residents tried to dispose of the pink notes at petrol pumps, supermarkets and other business establishments.
While no major untoward incident was reported from any state, Delhi, Chennai and Bhubaneswar reported isolated incidents of confusion and chaos in some bank branches.
At some banks in Delhi, heated arguments took place between customers and bank staff who allegedly refused to accept notes without identity proof despite the government’s clarification that no document is required to exchange notes.
Some Chennai banks also demanded Aadhaar card while others wanted to know the mobile numbers of those who came with Rs 2,000 notes. The city also recorded high activity with some bank branches collecting Rs 2,000 notes worth over Rs 60 lakh on Tuesday. A few Bhubaneswar banks, too, insisted on identity documents such as Aadhaar card along with the requisition slip to deposit and exchange notes. There were widespread complaints of petrol pumps refusing to accept high-value notes.
Meanwhile, no rush was witnessed in jewellery shops as well with most jewellers reporting business as usual. However, some jewellers in Telangana and Karnataka said some people are making payments in Rs 2,000 notes. Across Karnataka, the Rs 2,000 note exchange rush was seen more at petrol stations, jewellery stores, malls and stores than at the banks.
Kerala witnessed a slow start to the exchange of Rs 2,000 notes with very few people turning up at banks to exchange the pink notes. “There is ample time till September 30 to exchange the notes. Also, many customers are making full use of digital banking and UPI payments and hence they do not have big currencies in their possession. In case of bulk payments such as Rs 5-10 lakh or more, customers are depositing it in their accounts as normal procedure,” said the manager of a nationalised bank in Kochi.
In Chennai, bank branches in residential areas wore a desolate look with fewer footfalls while those in Purasawalkam, Vepery and other commercial areas saw people arrive in small numbers to exchange as well as deposit Rs 2,000 notes. The manager of the nearby Federal Bank said only less than 10 persons came to the bank for exchanging money. The bank collected their Aadhaar card details as identity proof.
KP Murali, president of Tamil Nadu Petroleum Dealers Association, said they are getting a lot of Rs 2,000 notes. “We urge RBI to direct banks to provide us with adequate change so we can transition through this period smoothly,” he said.
Banks in Delhi, unlike other cities, witnessed brisk activity and crowds. However, there was confusion among customers about the procedure to exchange and deposit notes. Heated arguments broke out at some branches with bank staff allegedly refusing to provide the correct information and demanding identity proof. There were also complaints of banks refusing to exchange notes and forcing customers to deposit money in their accounts.
In Andhra Pradesh, there was no rush in banks to exchange Rs 2,000 denomination notes. People tried to expend the money through commercial establishments, petrol filling stations and jewellers but they were reluctant to accept the notes.
Realtors, however, said they would be ready to accept the notes if people come forward as it would be a push to the sector, which is yet to recover fully from the slump. Alla Siva Reddy, Chairman of CREDAI, said: “No realtor in the state is having money as there is no business in the state for the past few years. We are ready to accept Rs 2,000 notes until September 23.”
Meanwhile, in a bid to cash in on the situation, the Greater Hyderabad Municipal Corporation has announced an offer for house owners to pay property tax in Rs 2,000 notes. There was no panic rush to banks in Odisha. Very few people turned up to either deposit or exchange notes.
(With inputs from New Delhi, Chennai, Bengaluru, Hyderabad, Vijayawada, Bhubaneswar and Kochi)