Business Standard

Delhi Traders see rush of customers with Rs 2,000 notes, while UPI declines

Traders in the national capital are amused as the majority of customers are bringing only Rs 2000 currency notes while UPI payments have declined

Rupee, economy, inr, India

Press Trust of India New Delhi

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Traders in the national capital are amused as the majority of customers are bringing only Rs 2000 currency notes while UPI payments have declined.
Traders said that they are accepting Rs 2000 currency notes even as many people are buying stuff of just Rs 100-200 to get rid of the currency notes after the Reserve Bank in a surprise move on Friday announced the withdrawal of the note from circulation.
A trader in Sarojini Nagar market said that he hadn't seen Rs 2000 currency notes in past months but now every other person is bringing this currency note for buying goods (Itne time see (Rs) 2000 ke note nahi dekhe the, aur ab har dusra banda yehi note la rha hai").
People seem to get rid of Rs 2000 currency notes instantly even as the central bank gave the public time till September 30 to either deposit such notes in accounts or exchange them at banks.
Unlike the November 2016 shock of demonetisation, when old Rs 500 and Rs 1,000 notes were invalidated overnight, the Rs 2,000 currency notes will continue to be legal tender.
People are buying stuff of Rs 100 but are giving Rs 2000 note. We got many complaints from traders yesterday that suddenly people coming with cash have increased. Till the day before yesterday, everybody wanted to do UPI and now suddenly they are bringing cash, Sarojini Nagar mini market association's president Ashok Randhawa told PTI.
When asked whether traders are accepting the notes, Randhawa said: We have told traders to accept the notes if they can because it is affecting our business. Many people are just coming to shop to get rid of 2000 rupee notes. So there is no point in asking them to pay via UPI.
"Moreover after recent SBI announcement, we are relieved.
In a communication to the chief general manager of all its local head offices, State Bank of India (SBI) informed that the facility of exchange of Rs 2,000 currency notes by the public up to a limit of Rs 20,000 at a time will be allowed without obtaining any requisition slip.
Markets are thronging with customers carrying bundles of 2000 rupee notes, said K K Balli, president of the Association of Wholesale Readymade Garment Dealers (Gandhi Nagar).
We knew it soon after the announcement about Rs 2000 notes that many people will rush to market to get rid of these bank notes. We are accepting even but we are asking customers to buy at least stuff for Rs 1,000. As many were coming with 2000 rupee notes just to get the stuff of 100 rs which is not fair, said Balli.
Some people are opting to invest in jewellery.
"My son received close to Rs 15,000 in Rs 2000 denomination notes when he was born in 2020. We were storing the money in his piggy bank. Following the RBI's announcement, we broke his piggy bank and counted the notes. We have decided to invest in jewellery since it will be an investment for the future as well as a prudent decision at this time," Neetu Tripathi, a resident of Noida Extension, said.
Another trader in the Lajpat Nagar market said that business has improved overnight as many women are coming to shop for clothes to let their 2000 notes get changed.
"It is helping the business but we are worried about how we are going to change these notes, said Krishanpal, a garment shop owner in Lajpat Nagar.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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First Published: May 22 2023 | 9:36 PM IST

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