Cash Flow Reduced After Note Ban & GST: Etela

Finance Minister Etela Rajender today said Centre failed to respond to State government’s repeated requests to ensure proper availability of cash both in banks and ATMs.

Replying to a question raised by MIM member Syed Aminul Hasan Jafri in the Council, he said there was an acute shortage of currency in the State. Quoting the Convenor, State Level Bankers Committee, the Minister said the reasons for shortage of currency in ATMs and banks were inadequate supply of currency by Reserve Bank of India, reduction in inflow of cash from public, particularly ATM-fit notes, mismatch between cash receipts and cash payments and consequential shortage of cash in branches, high demand for higher denomination notes coupled with currency supply in lower denominations.