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Demonetisation in India-News and updates

NEW DELHI: With so little cash, you can’t even have a decent dinner, forget running regular diplomatic business, the Russian ambassador to India told New Delhi in a strongly worded letter as the country, a major global player and a key defence supplier for India, officially critiqued demonetisation-induced cash shortage for its diplomatic staff.

Diplomatic missions of Ukraine, Kazakhstan, Ethiopia and Sudan have also sent protest letters on cash withdrawal restrictions.

ET reported on December 3 ( Demonetisation Dollar Spat Between India, Pak ) that the Pakistan High Commission staff had refused to take salaries protesting new rules on withdrawing dollars.

Russian ambassador Alexander Kadakin, an old India hand, wrote to the ministry of external affairs (MEA) on December 2: “Please just imagine if we in Moscow mirror this order of SBI (State Bank of India) when 50,000 roubles will not be enough to pay for a decent dinner in a restaurant, not to mention functioning of such a big embassy as ours in New Delhi or India’s in Moscow.”

“SBI informed the Embassy that the cash withdrawal limit available to the Embassy is now Rs 50,000 per week under the government of India directives with no exceptions unless otherwise advised by the RBI,” he wrote. “Such an amount is totally inadequate as regards the embassy’s salary and operational expenditure requirements.”

Officials in the Russian embassy, who spoke off record, told ET that its New Delhi mission has a staff strength of 200 (excluding family members) and with the new withdrawal limit the cash at hand for one person comes to Rs 250 a week.

Kadakin in his letter urged MEA to intervene so that the withdrawal restrictions for diplomatic staff is lifted.

A senior diplomat in Delhi told ET that a number of missions have taken their case to MEA and many more may follow.

Some diplomats said Indian diplomats abroad may have to face similar restrictions if the situation does not improve.

They also said the restrictions may be against the spirit of the Vienna convention.

Kazakhstan celebrated its National Day recently amid “some difficulty” due to limits on cash withdrawal, diplomats told ET. Some other embassies are apprehensive that organising big diplomatic events may become problematic.

A task force of Ministry of External Affairs and finance ministry was set up after demonetisation was announced on November 8.

Some bank branches have been kept aside for transactions by diplomats so that mission staff can avoid long queues.

But foreign diplomats in India say there has to be a solution to the fundamental problem – ceiling on cash withdrawal.

Ministry of External Affairs has said it is working to find solution to the problem.



http://economictimes.indiatimes.com...dinner-russian-envoy/articleshow/55823340.cms

damn 250 rs per week per person for embassy staff including the ambassader
that is kinda cruel
 
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According to India itself, around 98% of transactions in India are done using cash. So it makes sense that they need cash for doing a lot of day-to-day things.

Are you suggesting that Embassy officials do not go to supermarket but shop from the local road side markets ? :lol:

Which do you think is more likely ?

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Poor guys dont even have food to eat.:cray:Our sympathies are with you russian brothers. :(
Don't tell me embassy doesn't have a bank account and a debit card with them... :police:
ahhhh if someone doesn't have funds in there bank account then that is there problem.....
 
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Great “Modi-nomics”
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CCP economics:

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$1.3 trillion lost in 9 years in illegal outflows

In other words, if we break down this data.
Thats $140 billion losses per year
$12 billion in a month
$400 million a day
$16.6 million in an hour

By the time you are done reading this post,corrupt Chinese have laundered off $1.38 million illegally.


CCP economics FTW :china:
 
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Are you suggesting that Embassy officials do not go to supermarket but shop from the local road side markets ? :lol:

Which do you think is more likely ?

Why don't you ask the Russians?

Do you think it's a Russian conspiracy against India, is that more likely?

Or maybe they really are having a hard time in an economy in which the vast majority of transactions are done with cash?

Occam's razor.
 
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So at the end of the day you Need CPEC and care about CPEC

I think India already have some trains and I also think India is using electricity and roads. May be less than Pakistan. I think it is not bad If Indians have capability to monitor development in your country and learn how to build railways and world best infrastructure. :)
 
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According to India itself, around 98% of transactions in India are done using cash. So it makes sense that they need cash for doing a lot of day-to-day things.
you think these deplomats used to dinner at the dhabaas.....
 
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Don't tell me embassy doesn't have a bank account and a debit card with them... :police:
ahhhh if someone doesn't have funds in there bank account then that is there problem.....
Embassies are allowed to withdraw just 50k per month which is not enough to run big embassies.
 
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What you want ? Golgappas ? Vegitables from fresh market or just a road side snack or drinks ? :D
you should have money in the bank account... and little knowledge how to pay digitally... embassy people won't be that dumb... :D:P
 
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maybe they really are having a hard time in an economy in which the vast majority of transactions are done with cash?
No doubt foreign embassy folk, like the rest of India, have been greatly inconvenienced by this retarded move. For every 1 place that accepts cards, there are about a million where transactions happen only in cash. Total disaster in the hinterland, from poor simple farmers to well to do urban dwellers in major cities, no one has been spared.
 
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Embassies are allowed to withdraw just 50k per month which is not enough to run big embassies.
What for embassy need cash ? they can use the debit/credit card/cheques or bank transfers...

Embassy should have no business with cash I believe...
 
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What for embassy need cash ? they can use the debit/credit card/cheques or bank transfers...

Embassy should have no business with cash I believe...
What if they want to travel somewhere ? Cash is important to have in a place like India, anyone pretending otherwise is lying.
 
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