SBI Says There Is A Need For Rs 500 Notes To End Bank Queues Indian customers line up at an SBI ATM in Siliguri. Photo credit: DIPTENDU DUTTA/AFP/Getty Images

At least Rs 10 lakh crore must be in circulation for the long queues at banks to end, but the pressing need is the missing Rs 500 currency, a top State Bank of India (SBI) official said on Monday (5 December).

"According to our study, two months of consumption amount, Rs 10 lakh crore, is required in circulation in the markets. The queues will then disappear," SBI Managing Director Rajnish Kumar said.

The official pointed out that lack of enough Rs 500 notes was hindering the faster circulation of currency. "Right now there is nothing between Rs 100 and Rs 2,000 notes, which is causing problems. Once Rs 500 is in circulation, it will ease the situation," he said.

With inputs from IANS

An Appeal...

Dear Reader,

As you are no doubt aware, Swarajya is a media product that is directly dependent on support from its readers in the form of subscriptions. We do not have the muscle and backing of a large media conglomerate nor are we playing for the large advertisement sweep-stake.

Our business model is you and your subscription. And in challenging times like these, we need your support now more than ever.

We deliver over 10 - 15 high quality articles with expert insights and views. From 7AM in the morning to 10PM late night we operate to ensure you, the reader, get to see what is just right.

Becoming a Patron or a subscriber for as little as Rs 1200/year is the best way you can support our efforts.

Become A Patron
Become A Subscriber