The Reserve Bank of India (RBI) has introduced a fresh set of restrictions on cash deposits of demonetized notes adding to further confusion among consumers in India.
According to the new set of rules, individuals will be able to deposit bank notes above INR 5,000 ($74) only once until the official deadline of December 30. This can however only be done after an explanation to two bank officials as to why this was not deposited earlier. The deposit will then be made only after the bank officials merit it as a satisfactory explanation.
While these changes have been added to further tackle the spread of black money and corruption in the country, people have complained that this adds another layer of bureaucracy to the existing inconvenient process of exchanging bank notes and depositing cash into accounts.
The Indian Prime Minister Narendra Modi announced the radical step to demonetize the currency notes in order to tackle the rampant problem of the so-called "black money" - billions of dollars' worth of cash in unaccounted wealth and fake currency notes. The government has decided to introduce a new 500 rupee note and also introduce a higher denomination banknote of 2,000 rupees.