Govt provides relief to farmers, marriage parties, reduces exchange of illegal tender to Rs.2,000

Taking into consideration the requirement of cash to meet growing expenses during the sowing season, the central government on Thursday enabled the farmers to withdraw up to Rs.25,000 per week from their Know your customer (KYC) compliant accounts.

Holding a press conference here in the wake of farmers from across India complaining of cash-crunch for the purchase of seeds, Economic Affairs Secretary Shaktikanta Das said, "Farmers can withdraw up to Rs. 25,000 per week from their KYC compliant accounts; besides, Kisan Credit Cards will be subject to same new limit."

Talking about the crop insurance premium, he said the government has decided that the time limit in all such cases of crop loan to be extended by 15 days.

In view of the beginning of the marriage season, the Department of Economic Affairs (DEA) Secretary said, "Up to Rs. 2.5 lakh cash will be permitted to withdraw from bank accounts of father or mother or groom or bride having KYC compliant for marriages."

Stating that the government will ensure that the farmers don't suffer, he said the Centre has allowed the agricultural produce market committee (APMC)-registered traders to withdraw Rs. 50,000 per week.

Over the counter exchange of old Rs. 500 and Rs. 1,000 notes, he said the existing limit of Rs. 4,500 will be reduced to Rs.2,000 from November 18.

Das added that there is enough cash with the government.