GUWonder

The earned "black money" and bunyas aren't the prime target behind this sudden move; they are collateral damage/bonus. It's the frenzy about counterfeits -- especially with Pakistan (and probably China too) having Indian plates and enough other currency-producing supplies -- and the whole "war on terror" angle. Some would say this is the financial angle of a certain cross-border conflict and of a restive region perhaps becoming even more restless ahead. And it is.

It's been very interesting to see what's been happening to the gold trade and the regional differences with that in select parts of India and even in Pakistan and Nepal.

The GOI is putting in a 2000 INR note. That's more valuable for the trader crowd than the 1000 INR note. Especially if they love their "black money".

aceman

Does anyone know what the current situation is for changing money into rupees, or ATM withdrawals is at the airport at the moment?

Any max limits etc? Indians can only take out 10k rupees a week at the moment, does that apply to foreign cards too?

Anglicum

Technically you are not allowed to take INR with you when leaving the country, so cash taken abroad is invalid anyway.

Being a annual traveler to India I always take home with me enough rupees to pay for taxis, food and drink to cover for my first day back and I also leave any leftover rupees in a safe deposit box at my accommodation for my next visit, however because I won't be there until mid January I will have to go to a RBI Bank which is not a problem as such but they want proof of where you got the money from? How the hell do I do that?

:D!

AFAIK non-Indians should not be taking any INR out of India and Indian citizens or NRI/PIOs can take up to 25000 INR.

I hear that the going rate for 500 notes in Bombay yesterday was 300 rupees

Here in London, Indians are trying to offload their rupee cash stash by selling them to unwary British intending travellers. They are offering it for 20-40% off for GBP, and I saw at least one person getting scammed (unfortunately I was unable to tell that person he was buying very expensive paper - although it is possible that he actually knew what he was getting and has a way to redeem them for their full value)

emma69

Yes, when I looked into it before my trip, I found that the rules on taking rupees in and out of India changed in 2014, and you are allowed 25,000 rupees per person. It used to be a 'closed' currency, and two years ago become a 'semi-closed' currency (with banks in Canada quite happy to exchange both directions - until earlier this week, of course!) They cannot exchange true 'closed' currencies.

OSLThom

I'm in India right now, but not in Delhi. The banks opened yesterday after being closed for two days. I'm in Goa and where I am, they have not got the new money yet. All the shops and the restaurants accepts the old 500 and 1000 notes until Sunday.
You are only allowed to withdraw 2000 INR pr transaction pr card. This will be 4000 INR from nov 19th.
That's the situation right now.

aceman

Just to update this: no cash in ATMs at Delhi airport. 2 hour lines to change money. Max change allowed 4K inr

Keyser

landed in del last night....it was a zoo at the money exchange....

djohannw

No money at all in BLR two days ago, money-changers were out of money and all ATMs out of service. Could not get any money up to today as the lines were horrendous...

Greetings - Dirk

GUWonder

The above is categorically inaccurate. The cash abroad was/is legally valid. Its export was in substantial part valid too.

The situation yesterday at banks was crazy in many places, but not everywhere:

https://us.yahoo.com/finance/news/ch...083811665.html

GUWonder

A lot of those buyers of discount INR 500 and 1000 notes here in London are Indians by at least ethnic origin and are going to try to make a good amount of money from this game of importing INR into India and exchanging them. The discount is to offset the risk and hassles arising from partaking in this game. That's not to say some aren't scamming the ignorant, as some are.

GUWonder

Tourists and VFR travelers trying to get rid of their Indian cash at Indian airports by exchanging it into non-Indian currency have been having problems last night/today. Something about maximum exchange into foreign currency being restricted to 5000 INR in total.

This move is burning a lot of travelers too, not to ignore the suicide(s) it has resulted in too. In terms of who is responsible for the situation? The PM said he had no choice but to make this a secret scheme and make the decision himself on doing this.

It's quite ordinary for foreign tourists departing India to have more than 5000 INR on arrival at the Indian airport of exit, and then they may try to exchange back the INR for foreign currency at the airport. But the Indian government has just "taxed" them with this move too, and the chances of visitors having to abandon the cash and/or cash's value has increased substantially.

HGHUA

BOM airport International, ATMs empty. Exchange counters charging ripoff rates.

oliver2002

To add fuel to the fire, most POS card terminals are unable to connect to the host because the electronic payment systems are hopelessly overloaded.

GUWonder

Did you see what was going on at some hotels? It's like IOU season.