EC to ask candidates to open current accounts as RBI lifts restrictions

With the Reserve Bank of India (RBI) on Monday lifting restrictions on cash withdrawal from current accounts, the Election Commission (EC) is set to ask candidates to open such accounts only, sources said.

The poll panel had earlier asked candidates to open separate accounts for election-related expenses to be monitored by the poll panel, but had not specified if these should be current or saving accounts. Usually, most candidates would opt for savings accounts.

However, with the RBI ending curbs on withdrawals from current accounts, cash credit accounts and overdraft accounts with immediate effect, the EC will ask candidates to open current accounts in order to be able to withdraw sufficient cash.

The EC had earlier asked the central bank to increase cash withdrawal limit for candidates to Rs 2 lakh per week, but not got a positive response.