Pay-day: Govt. employees, pensioners can withdraw Rs. 24,000, says Kerala Fin Min

With the state government feeling the burnt of demonetisation, Kerala Finance Minister Thomas Isaac on Thursday said the government employees and pensioners will be able to withdraw only Rs 24,000 cash a week.

Talking to the media, Isaac said as there are no sufficient notes for disbursement of complete salaries, the government staff and pensioners will have to move bank or treasury in person.

"The banks have no cash and it is very clear. And, there is no way that they are going to get sufficient cash to pay the full salary. Therefore, the understanding is that the salary and pension will be limited to 24,000 rupees for one time withdrawal. So, over five lakh people are drawing pension from treasury and from banks. They will have to go to their prospective banks and treasury, especially to withdraw money," he said.

"The total number of employees and pensioners in the state is around 10 lakh. About 5.5 lakh draw their salary through banks, 4.5 lakh through treasury accounts and the rest about 50,000 in cash," he added.

He said the government had sought Rs 2,400 crore from the RBI to disburse to 10 lakh people through banks and the treasury.