India cuts limit of over-the-counter exchange of old 500 and 1000 notes to INR2000

The Indian government slashes the limit of over-the-counter exchange of old 500 and 1000 notes to INR 2000 versus INR 4000 previously, according to the latest announcement from the Indian finance ministry. This change will be brought into effect from tomorrow, Nov 18^th.

Key Details:

Farmers will be able to withdraw up to 25, rupees per week against crop loans

Time limit to pay crop insurance premiums has been extended by 15 days

The government’s surprised markets last to week after it announced demonetization scheme by replacing 500 and 1000 rupee notes, in a bid to combat corruption/tax evasion in the heavily cash-based economy.