deovrat

The poor chief justice already has one leg in a trap, because PM Office is not approving his new justice recommendations since ages !

GUWonder

So he did or didn't fall far from the apple tree that was his father? His father didn't really shake things up a lot either, but he was a good fellow.

The courts have been notorious at giving at least the non-union governments a good pounding from time to time. Too bad if they don't give one to the Union government on this too.

segacs

So I just returned from a 3-week trip to India and Nepal. I had the misfortune of arriving in New Delhi on the night of November 9th, right when the currency freeze had just been put into place.

I found out about it while I was already in the air (not that I could've done much even if I'd known) and it was a giant mess. Arrived at DEL airport, ATMs were shut down and so were credit cards, only one forex line open and it ran out of cash after I'd stood in line for 30 minutes. I had a few US dollars on me but nothing else, and nobody would accept the USD for anything. No working phone, also no way to get WiFi in DEL airport without a working phone. It was 2 in the morning. Fun times.

Got to my hotel (luckily had prepaid for an airport transfer) and survived for the next couple of days off their IOU goodwill on food and water from their restaurant. Eventually the credit card system came back online and I was able to pay Visa for most things as long as I stuck only to places that accepted credit, which is a small minority of places in India.

Day 2, managed to exchange about $60 USD for old rupees with a tout. Tried to take the old rupees to banks to exchange them for new rupees. No luck anywhere. No sightseeing as I couldn't even scare up enough cash for a subway ticket or a tuk-tuk ride.

After that I had a week-long tour booked, and once I joined up with the tour company, they sorted us out not too badly. Nobody had cash but the transport and hotels were pre-booked and they took us to places for food that accepted credit. Missed out on some sights, attractions and local flavour due to no cash, but nothing dramatic. Much better off than most tourists and locals were in that week.

Managed to get some cash out of an ATM on the sixth day, after trying lots of ATMs that were mostly out of cash. Totally hit or miss. The new activity in India is standing in line. Also managed to exchange old rupees on behalf of a tourmate who'd been in India prior to the freeze on the fourth day. So we had about 5000 INR in cash to get us through the week after that. The 2000 INR new notes are really hard to spend, as nobody has change for them, so best to team up with a bunch of people and spend them together, getting a total for your meals or whatnot that is as close as possible to 2000, and then paying each other back on future purchases or in foreign currency, etc.

Long lines at ATMs and banks in every city and town around India. Lots of businesses shut down, as people are standing in line all day and can't go to work. Lots of stuff at a standstill.

This was my first trip to India, and while it wasn't ruined, it was certainly dampened. Of course, I was far better off than most people in India, so I'm not griping. But if you're considering going for leisure travel, be aware. It's likely going to be a mess for a while yet.

pjpoker

So since you were there the entire time after the currency freeze, would you say things are improving? I have a trip booked to India and will be arriving Dec. 6th. I've already gotten the time off work and arrangements made so I really don't want to cancel. India has been at the top of my travel list for years.

Shimon

Is it possible for tourists to open a bank account? Is it possible to add a foreign debit/credit card to paytm?

Both were impossible a few months ago but are completely required in a cashless society.

segacs

I was only in India for the first 10 days of the freeze, and then I went to Nepal. So not the entire time. Things weren't really improving much while I was there, and I'd venture that now that old banknotes are no longer being exchanged at branches, things might get worse again -- especially with December 1st payday this week.

I'm glad I stayed, and I did still manage to enjoy my trip. So I wouldn't say to run and cancel, especially if you're looking forward to it. But definitely be aware that the hassle factor could be high. You may not to get to do all the things you wanted, like eat in local restaurants, visit all sights and attractions, or shop everywhere. You might have to stick to places that accept credit more than you anticipated. And you may have to sacrifice some sightseeing hours to the current #1 Indian pastime of lining up at ATMs. If you can get your hands on some small-note rupees (100s and 50s) before your trip, definitely get as many as you can, as you'll need them.

It's not impossible by any means. Just, it's like the traffic, smog or bathroom situation: something you will have to deal with if you choose to go to India right now, part and parcel of the experience. Informed is forewarned. Bring a dozen photocopies of your passport and passport-sized photos, some plenty of patience and good humour.

You might also want to check out the extensive threads on the subject on Thorntree, as plenty of other travellers and backpackers are discussing the situation. Plus, monitor the media.

segacs

India is a long way off from being able to realistically become a cashless society. Large segments of the population have no government ID, access to banks, broadband access, internet literacy, or even regular electricity.

More likely, this move is going to cause a return of the barter system. Not sure that's quite the "cashless society" the government had in mind.

As for tourists, no, it's definitely not possible to open a bank account without a state ID. No idea about paytm, but it would be difficult to use anyway since it's an extremely big hassle for a tourist to even get an Indian SIM card. Mine took me about nine yards of paperwork, ages to activate, and of course, the only way to pay for it was in cash.

oliver2002

Well, my father lives in a village close to the BD border in WB. His bank moved to electronic banking some years ago and if they don't have power or the 'datalink' is down the bank grinds to a halt. People are expected to use the ATM for all cash withdrawals. My 75 yr old father fumes everytime he goes to the bank. Many expats send their cash home from BOM and GCC/DXB via wire transfer to the bank accounts, so people absolutely need the bank to be online...

zebranz

Might be careful about this as I believe US Citizens must declare on their taxes and file a yearly form (FBAR) stating maximum foreign value during the year in an overseas account.

GUWonder

The FBAR and other declarations are a USG requirement applicable to US citizens and long-term US residents (even undocumented/illegal US residents), but they only apply when the trigger amount has been hit. Having just one non-resident Indian account with never more than $6000 in it? That won't be an issue if that is all the direct financial exposure such a person with IRS/US Treasury obligations has to the international financial system.

Some non-Indians used to be able to legally have bank accounts opened in India -- at least if they had Indian relatives -- but the Indian banks have been getting tougher too on account opening/maintenance standards. Using a foreign account for local ATM withdrawals works better for most tourist visitor types. Even for those visiting once or twice a year or otherwise.

gnargel

Just returned from a very short trip from Mumbai.

Had no issues changing EUR 80 at the airport for an ok-ish exchange rate (no line).

Used my first 2000 note at the official airport taxi desk (got 16 100 notes as change!) and my second one at a restaurant where I spent 1000.

Still lines for ATM's, but it is possible to get 2000 notes after a short wait if you pick the right ATM.

rdurlabhji

I didn't have many issues in India despite waiting 2+ hours to get 6000 INR at the forex counter. The people who are really affected are the poor, who sometimes cannot buy food, and cannot get work because employers do not have the cash to pay them. I think GDP is projected to shrink by 2% due to this move. What a disaster.

cphan17

Yes, I would be curious to hear about how things were towards the end of your trip. I'm scheduled to arrive there on Jan 2, and hope things will be fine by then.

segacs

Yes, this. We travellers are the privileged ones. Perspective is important.

pjpoker

Would it be advantageous to bring USD as it may be easier to change money than to withdraw from banks/ATMs?