In a historic move, Prime Minister Narendra Modi today announced demonetisation of Rs 500 and Rs 1,000 notes. In his address to the nation, PM Modi said that the move will be implemented with effect from midnight tonight, making these notes invalid.
By: FE Online | New Delhi | Updated: November 8, 2016 10:57 PM
In a historic move, Prime Minister Narendra Modi today announced demonetisation of Rs 500 and Rs 1,000 notes. In his address to the nation, PM Modi said that the move will be implemented with effect from midnight tonight, making these notes invalid. The PM announced the surprising assault on black money, fake currency and corruption on Monday evening. However, with this shocking revelation, Modi also unveiled the fact that the Reserve Bank of India (RBI) will introduce new currency notes of Rs 500 while Rs 2,000 notes will also be issued by the bank. In a related announcement, RBI governor Urjit Patel and secretary of the Department of Economic Affairs Shaktikanta Das called it a necessary step and said it is “in medium & long term interest of our economy”.
In the media briefing, the DEA secretary unveiled the news currency notes of Rs 500 and Rs 2,000. Showcasing the notes, he said the notes will be known as “Mahatma Gandhi news series of bank notes”.
Here is how the new notes will look:
Rs 500 note:
In the new currency notes of Rs 500, RBI has introduced the denomination into Devanagari script. It has also replaced the glittery green colour with sober grey along with shifting the denomination from middle to the bottom on the right side of the note. If we talk about the back side of the note, the image of Dandi march is removed and an image of Red Fort is affixed with the logo and slogan of ‘Swachh Bharat Abhiyan’. The RBI Governor’s declaration is shifted from the bottom of the note to the middle on the front side of the currency.
Rs 2,000 note:
The new Rs 2,000 note is having a mixed touch of pink and purple. While the front side of the note has the same design as of Rs 500 note, its back side affix the image of ‘mangalyaan’ (satellite) instead of Red Fort.
Showing the new currency notes, Das said that RBI will release new currency notes with new features,designs and dimensions from November 10 onwards.
Speaking on the occasion, the DEA secretary warned that if someone is receiving Rs 500 and Rs 1,000 notes after tonight, he/she will be doing it at his own risk.
Going by his promise in 2014 general elections to bring black market money into the regular financial system, Prime Minister Modi on Tuesday in a televised address to the nation said that high denomination notes of Rs 500 and Rs 1000 will no longer be legal. PM Modi announced a “decisive” war against black money and corruption while disclosing a raft of steps to assure the common man that their money is safe. PM Modi said banks and ATMs will remain closed on November 9 and in some places ATMs may remain closed on November 10. Across the country, people rushed to ATMs where money could be withdrawn in Rs 100 notes, trying to avoid being caught without cash over the next few days. Welcoming the bold step taken by the government, President Pranab Mukherjee called upon the people not to panic as the move would help unearth unaccounted money as well as counterfeit currency. The finance ministry said that new banknotes of Rs 500 and Rs 2,000 would be introduced from November 10. The old notes can be deposited in banks and post offices from Nov. 10 to Dec. 30. Governor of the Reserve Bank of India, Urjit Patel, said he saw no impact on liquidity in the wholesale market and that the bank had ramped up production of the new series of notes over the last few months. Experts said Tuesday’s move was the biggest in decades aimed at fighting graft.
Here are the live updates on PM Modi’s speech Today:
1:10am: Shortly after the Prime Minister announced demonetisation of Rs 1,000 and Rs 500 notes, Union Health Minister J P Nadda instructed all Central government hospitals and pharmacies to adhere to the 72-hour guideline of accepting the old notes for the convenience of patients.
12:30am: Uttar Pradesh Chief Minister Akhilesh Yadav urged the Centre to ensure that the decision to ban Rs 1,000 and Rs 500 currency notes does not have an adverse impact on the poor, farmers and villagers
11:02pm: Gagan Banga, Vice Chairman & MD, Indiabulls Housing Finance Ltd: It’s a very innovative mood. No gain without pain. Extremely good for housing finance companies as element of cash will reduce and formal credit demand will increase.
11pm: Anuj Puri, Chairman & Country Head, JLL India: The banning of higher currency notes is a major move which will help curb unaccounted-for cash in the real estate sector.
10:59pm: Saravana Kumar, CIO, LIC Mutual Fund: If you look at India’s economy point of view it’s a very good measure. It’s a very strong and bold step. Inflation will moderate and it’s going to control the fiscal deficit. Black money will come down drastically. Since inflation is going to moderate it’s good for the bond markets as well. It’s good for the equity market, currency market and bond markets.
10:58pm: Nirmal Jain, Chairman, India Infoline: It is a very powerful measure to curb black money. Mr. Modi has kept his promise of taking stern measures against black money. It will have deflationary impact in general and more specifically on real estate prices and make homes affordable, and is indirectly a boon to honest tax payers.
10:57pm: CJ George, Managing Director of Geojit BNP Paribas, described this as the creation of Swachh Bharat in one stroke of a pen
10:56pm: Indiabulls Housing Finance Vice-Chairman Gagan Banga said, “it’s very good for housing finance companies as the element of cash will go down and demand for formal credit will increase.”
10:55pm: Veteran investment banker Vallabh Bhansali termed this as the “third freedom struggle” after the Independence movement and the liberalisation of 1991, and a voluntary disclosure scheme in disguise. He also described it as a “revolutionary” step.
10:54pm: PayTM founder Vijay Shekhar Sharma, whose company offers the much-needed alternative for the cash economy, said it is the “best move” which will boost digital payments.
10:52pm: CII President Naushad Forbes said demonetising high denomination notes can be an effective means of checking accumulation of wealth in cash.
9:40pm: Randeep Singh Surjewala: Congress has always supported any step against black money, and will continue to do so
9:35pm: This fight against black money will continue, decisions like forming SIT were earlier taken for the same, says Amit Shah, BJP President
9:30pm: If someone is receiving Rs 1000 & Rs 500 notes after tonight, he is doing it at his own risk: Shaktikanta Das
9:25pm: Shaktikanta Das – We will review the situation after 24 Nov, new notes will be in circulation from November 10
9:20pm: There will be no impact on the liquidity on the wholesale markets. If at all there is any, we’ll make sure that its addressed: Urjit Patel
9:15pm: RBI will release new currency notes with new features,designs and dimensions from 10 November onwards: Shaktikanta Das
9:10pm: Keki Mistry: PM Modi’s move is ‘fantastic’, well-timed post disclosure scheme. Will remove huge amount of black money
9:05pm: Keki Mistry “conceptually a great move” Will have a very positive impact on real economy
9:00pm: Baijayant Jay Panda: What a fantastic move against black money to ban Rs 500 and Rs 1000 notes! This will be a game changer. I welcome it wholeheartedly
8:55 pm: Speaking after the PM Modi’s historic speech, SIT (black money) Chairman said, “Those holding untaxed assets and income despite government giving them opportunity to declare will suffer; such a move was necessary”.
8:55 pm: Decision to scrap Rs 500 and Rs 1,000 notes very good to combat black money: SIT Chairman Justice (retd) M B Shah.
8:40 pm: We want to take this fight against corruption even ahead. Wish to thank all: PM Narendra Modi. He also expressed confidence that political parties, workers, social organisations and the media will go further than the government in making it a success.
8:38 pm: So lets continue the process of cleanliness and work together for successful completion of this initiative: PM Narendra Modi
8:35 pm: Jitna sehyog aapse milega, utna shuddhikaran hoga (The more support we will get from you, the more we will clean): PM Narendra to the nation
8:34 pm: Notes of Rs 2,000 and Rs 500 will be circulated soon, RBI has decided to limit the notes with higher value, says PM Narendra Modi
8:30 pm: On November 9 and in some places November 10, ATMs will not work, says Modi.
8:25 pm: On November 9, all banks will remain closed for public work, Modi said. Banks will be closed tomorrow. “It will cause some hardship to you….Let us ignore these hardships… In country’s history, there comes a moment when people will want to participate in the nation building and reconstruction. Very few such moments come in life,” Modi said. He expressed confidence that the staff of banks and post offices will rise to the occasion to introduce the new order within the available time.
8:20 pm: There will be no change in any other form of currency exchange be it cheque, DD, payment via credit or debit cards etc, he said.
8:15 pm: He further said that besides poor population, all the policies of centre are dedicated for the upliftment of entire society.
PM addres to the nation: LIVE speech:
Modi said that there is a time when one realise that one has bring some changes in society and this is the time for India to feel the same.
8:10 pm: Counting the works of his government, he said that corruption and black money is something they have fought for immediately after assuming office.
8:08 pm: Making a big announcement, PM said that Rs 500 and Rs 1,000 notes are no longer legal tender. The order will come into effect from tonight after 12 o’clock. You have 50 days (From 10 Nov to 30 Dec) to deposit notes of Rs 500 & Rs 1000 in any Bank or Post office. He gave a 72 hours leeway at airport counters. (Only Rs 100, Rs 50, Rs 10, Re 1 to be legal).
8:05 pm: Respite for people for the initial 72 hours, Govt hospitals will accept old Rs 500 and 1,000 notes till 11 November midnight
One day limit on ATM withdrawals reduced to Rs 2,000 only, says PM.
It issued the Kurdistan Regional Government, on Tuesday, new instructions to oil producing companies operating in the region. This came during Magali provincial ministers meeting today under the chairmanship of the President of the Kurdistan Regional Government, Nechirvan Barzani, and the presence of his deputy Qubad Talabani. According to a statement to the provincial government has provided the Minister of Natural Resources Ashti Hawrami, enhanced in numbers and information about the production and export of oil revenues report, “referring to the figures and information” wrong “contained in the report of the channel NRT on the basis of oil production information put forward by the oil companies in the region. He said Hawrami, according to the statement that “At a time when the channel mentioned pointed to a foreign source unknown, the provincial government has issued directives to foreign oil-producing companies in the region, issuing special reports include the fact that production and export ratios, to prevent the continued use of this thread to mislead the citizens of the region Kurdistan, and symbols facts, and it has noted that the audit and the elimination of the province’s institutions will have a decisive role in this area. “ Barzani pointed to the victories achieved by the Peshmerga forces and the Iraqi army with the support of the international coalition against terrorists organize Daesh, condolences for the families of the victims and wished speedy recovery to the wounded. The Minister of Peshmerga Affairs Acting Karim Sinjari, according to the statement, a report on the general security situation in the region, especially the situation in the fighting fronts continuing Peshmerga forces and victories elements Daesh, as part of a liberalization of Mosul process and the arrival of large numbers of displaced people to the region, noting that since the beginning of the process to this day it draws 56,000 displaced people in the camps in the Kurdistan region and the numbers are increasing. In the same vein, said Undersecretary of the Ministry of Finance and Economy Rubber friend, in a report on the financial and economic situation of the province, public revenues and disbursements, plans and preparations for the ministry to ensure the salaries of public and disbursements. The statement, that the second part of the meeting of the Kurdistan Regional Government’s program included provision of Minister of Agriculture and Water Resources Abdul Sattar Majid report on agriculture to ensure data and information on agricultural production and poultry base, pointing to an increase in production compared to previous years by a large margin is the need of the local market in the Kurdistan region. The minister encouraged agro-industries and suggested that in order to maintain excess Products by canning plants and refrigerators, as well as securing agricultural pesticides in order to eliminate the diseases suffered by agricultural crops. And on water resources said Majid, that there were now a number of strategic projects carried out to protect this wealth and there are other projects in progress, adding that because of the financial crisis has stopped a number of projects. Also it touched on the processing of agricultural lands, especially in the settlement problems and the problems of land titling. The statement, that the head of the Kurdistan Regional Government has the price of efforts by the Minister of Agriculture and the Working Group at the ministry in order to increase agricultural production and poultry, noting that the importance of this production is no less important for oil production. Barzani stressed that agriculture turn into a financial source for the Kurdistan Regional Government by supporting the development of the agricultural sector, which has an important role in securing the multiplicity of sources of income in the region. In this regard, the Council of Ministers has decided to conduct an appropriate examination of the proposals and plans adopted by the Ministry of Agriculture and Water Resources in Higher Board of agriculture in the province of Kurdistan and the issuance of the necessary decisions.
The ongoing operation in Mosul, Iraq, is taking its toll on US troops, with 16 killed and 27 wounded, according to a military source in Moscow cited by TASS.The US Department of Defense has told RT America it is only aware of one casualty.
“During the first two weeks of the ground operation to capture the Mosul, 16 American servicemen lost ‘s hwy lives, 27 more Sustained various wounds,” the source Told TASS.The majority of the losses were due to “land mine explosions, artillery and mortar shelling.”
In certain cases, however, poor coordination between ground troops and air support was reportedly to blame for those killed or injured.
“Two special operations soldiers died following airstrikes by US B-52H jets on Mosul suburbs,” the source said.
RT contacted the Combined Joint Task Force – Operation Inherent Resolve (CJTF-OIR) for comment, which in response stated that it only has information on one casualty.
“We are unaware of these reports but can confirm that one US Service member was killed Thursday, Oct.20. Chief Petty Officer Jason Finan was advising the Peshmerga behind the forward line of troops when he was killed by an IED blast, “CJTF-OIR’s public affairs office said in an e-mail to RT.
The operation to retake Mosul, Iraq’s second-largest city and the self-proclaimed Islamic State (IS, formerly ISIS / ISIL) capital in the country, started on October 17. Tens of thousands of Iraqi soldiers, police, special forces and various militias are taking part in the advance on the stronghold.Their mission is being supported by the US-led international coalition.
On the day of the start of Mosul offensive, Pentagon spokesperson Peter Cook confirmed US soldiers would take part in the operation.
“They’re in a support role, ” Cook stated, stressing that the units were supposed to be “behind the forward line of [Iraqi] troops.”
Yet last week the US army newspaper Stars and Stripes reported That “US special operators were at the front line on the edge of the Mosul.”According to the outlet, the Troops wore uniforms of a US-trained Golden Division to “blend” with the local forces, but asked not to be filmed.
The Mosul to the Prior offensive, estimates by vBulletin® the Debka Files (an Israeli news outlet affiliated with the country’s intelligence), claimed the US has in fact assigned 12,500 servicemen for the operation, Including Hundreds of special forces.
To the Washington According Post’s figures , the US maintains Currently some 6000 Troops in Iraq, WHO COMPLETE are On by said to be mostly advisers helping to train the country’s army and police.The official US numbers put the presence at over 4,500.
Speaking to RT on the reports of the casualties among the US military in Mosul, Daoud Khairallah, professor of international law at Georgetown University, said Washington will eventually have to come clean on the matter.
“If it is true, the US would have to reveal the truth sooner or later.It might cover it up for a couple of days until the election passes, but eventually it will have to come up with the facts, “Khairallah noted.
He went on to say that in such a case “the US government will have a lot of explaining to do.”
BAGHDAD / National Center Bri NNC – said the parliamentary Finance Committee member Jabbar al – Abadi, said that the budget of the Presidency of more than $ 50 billion dinars, and we will work to reduce them.
He said al-Abadi, said in a statement that “the budget the president included her expenses of more than $ 50 billion dinars, a figure exaggerated too, and we must clarify this figure what are the causes,” pointing out that “some of this money goes staff and compensation salaries, but with respect to the post of President of the Republic and his deputies, you can not pass this number of magnitude. “
He continued that “balancing the Speaker of Parliament does not have many allocations as is the case with the allocations of the presidency, which is within the budget of the House of Representatives in all its details, so balancing the presidency is so huge.”
It is noteworthy that yesterday’s report include reading and discussion of the draft law on the federal budget for next year, as well as discussion of the day.
Identified by the Finance Committee on the appointment of parliamentary vote on the budget bill later this month.
The committee member said Sarhan Sylvana told Republic News, that ” the parliamentary Finance Committee continues to discuss and study the budget bill in the House of Representatives and within the Commission , ” pointing out that “last hosted many dignitaries including ministers to discuss the budget for each ministry and government institution.”
“The House of Representatives is still discussing the draft budget in preparation Arbain second reading after the visit,” adding that ” the vote on the budget will be at the end of this month . “
Twilight News / Cabinet held its regular Tuesday the eighth of November 2016, headed by Dr. Haider al-Abadi.
The cabinet voted on a draft vocational education and guidance system to form a committee to make a quick study on the corporate presentations to secure the international road link between Baghdad and the Jordanian border and expand the project to include a service road to Basra, a vital and very important project.
The Council voted to exempt mines Valqh Japanese origin from storage fees and proceeds donated by the Japanese government.
Also it has to approve the draft health insurance law in addition to the vote on the traffic rules and regulations of the legislation to join the Paris agreement on climate change.
Mr. Minister of Water Resources also put forward a report on Iraq’s participation in the Arab Ministerial Water Council meeting, which issued a condemnation of the crimes Daesh using perfusion projects in its terror and congratulate Iraq’s inclusion on the World Heritage marshes.
Mr. Immigration Minister also gave a presentation on the displaced and plans for them and the most important obstacles faced by the ministry.
The governor of the Iraqi Central Bank on the Keywords that project to delete the zeros will be implemented in early 2017, indicating that the bank began to develop the first steps of the project.
Keywords and said in a statement on Monday that “the goal of deleting three zeros from the Iraqi currency is to support the Iraqi dinar and make it a competitor of foreign currency,” pointing out that “this strategic project will serve the country’s economy if it will be inclusion of the Iraqi dinar in the global basket of currencies in the bourses vital world. ”
He added that the bank “is working on mechanisms for the implementation of this project is expected to start at the beginning of 2017,” noting that “the central bank began the first steps of the project through the selection of designs, companies and the country in which the currency will be printed.”
He pointed out that “the new currency entry does not mean the destruction of ancient coins, but will continue to trade for about ten years,” pointing out that “this period will enable the central bank to withdraw the old currency in accordance with the dynamics and mechanics in order to preserve liquidity in the market.”
ERBIL, Kurdistan Region – The Pentagon spokesman has said the US military is supporting the Iraqi offensive against ISIS in Mosul with AH-64 Apache helicopter gunships, which are reportedly targeting explosives-laden vehicles ISIS is using to slow the Iraqi offensive.
These Boeing-manufactured helicopters are being used “with significant effect” in Mosul, Peter Cook told reporters on Monday.
“We anticipate that this nimble and precise capability will continue to enable Iraqi progress in what we expect will be tough fighting to come,” he said.
“This is, of course, not the first time we’ve used the Apaches in Iraq,” he added.
Apache attack helicopters are capable of giving close fire support to Iraqi ground forces and can fly lower and slower than jet fighters to target their opponents. However, this also increases the chances that they could be hit by ground fire.
The US has used Apaches based in Baghdad to deflect an ISIS offensive from Anbar province toward Baghdad International Airport in October 2014; none was used again until last June when an Apache destroyed an ISIS vehicle-borne improvised explosive device (VBIED) south of Mosul during the Iraqi offensive against ISIS in Qayyara.
AFP cited officials who estimate that less than 10 Apaches are being used in the current operation in Mosul.
Iraq has advanced helicopter gunships of its own, which it bought from Russia. Some of the Russian-made Mi-28s and Mi-35s gave close air support to ground forces during the Iraqi operation to retake Fallujah from ISIS in June and also attacked the ISIS convoy which attempted to flee that city.
ERBIL, Kurdistan Region – The simultaneous operations to recapture both Mosul and Raqqa from ISIS create too many problems for the extremist group to solve at one time, the spokesperson for the US-led coalition against ISIS, Colonel John Dorrian, told Rudaw on Monday.
Iraqi and Kurdish forces launched an offensive to recapture the city of Mosul, ISIS’ main city in Iraq, three weeks ago. And on Sunday, the Kurdish-led Syrian Democratic Forces (SDF) announced the commencement of the military campaign to retake Raqqa, ISIS’ de facto capital in Syria.
The two operations put tremendous pressure on ISIS, Dorrian told Rudaw TV, speaking via Skype.
He also hailed the advances the Peshmerga and Iraqi forces have made so far, including the liberation of Bashiqa on Monday.
“The coalition and the United States are very pleased with the progress that is being made today,” he said but warned that the most difficult part is yet to come as Iraqi forces enter the city of Mosul itself.