ATMs across country go dry, Arun Jaitley says temporary shortage'

People complain of inconvenience due to lack of currency in ATMs in several states.

Update: 2018-04-17 05:57 GMT
A parliamentary panel has asked RBI to address the problem of perpetually dysfunctional ATMs so as to avoid a situation of a forced cash crunch. (Representational Image)

Mumbai: With ATMs running out of cash in many states across the country, Union Finance Minister Arun Jaitley said the temporary shortage caused by ‘sudden and unusual increase’ in some areas is being tackled quickly.

“Have reviewed the currency situation in the country. Over all there is more than adequate currency in circulation and also available with the Banks. The temporary shortage caused by ‘sudden and unusual increase’ in some areas is being tackled quickly,” the finance minister tweeted on Tuesday.

Reports of ATMs without cash have been received from several states, including Karnataka, Telangana, Maharashtra, Andhra Pradesh, Rajasthan, Uttar Pradesh and Madhya Pradesh.

Earlier on Tuesday, Minister of State (MoS) Finance SP Shukla said, "We've cash currency of Rs 1,25,000 crore right now. There is one problem that some states have less currency and others have more. Government has formed state-wise committee and RBI also formed committee to transfer currency from one state to other. It will be done in three days."

Meanwhile, office goers in Hyderabad have told news agency ANI, that they have been unable to withdraw money from ATMs in several parts of the city since Monday.

Similar reports were received from Varanasi in Uttar Pradesh where people are saying there ATMs are running out of money.

People in Delhi have also been talking about the non-availability of cast at ATMs.

People in Bhopal say, "We are facing a cash crunch. ATMs are not dispensing cash. The situation has been the same since 15 days. We have visited several ATMs today as well, to no avail."

Reports suggest officials of the finance ministry have held a meeting with the Reserve Bank of India (RBI) to take stock of the situation.

Madhya Pradesh Chief Minister Shivraj Singh Chouhan on Tuesday claimed that Rs 2,000 notes were vanishing from the market, and alleged that there was a "conspiracy" behind it.

Addressing a farmers' convention, Chouhan said, "The currency worth Rs 15,00,000 crore was in circulation before demonetisation. After the demonitisation exercise, the currency in circulation increased to Rs. 16,50,000 crore. But notes of Rs. 2,000 are missing from the market."

He was referring to news reports of ATMs running out of money at some places in the state.

Also Read: 'Missing' Rs 2,000 notes conspiracy to create problems: Shivraj Singh Chouhan

"Where these notes of Rs. 2,000 denomination are going, who are keeping them out of circulation? Who are the persons creating shortfall of cash? This is a conspiracy to create problems. The government will act tough on this," the Madhya Pradesh Chief Minister said.

Chouhan added that he has taken up the issue with the Union Government.

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