"This is a tough step taken by the government. And the policy is very good to counter fake currency and black money. But the implementation of the supply must be strengthened so that people can get the money they need," Ghosh said.
The Bandhan Bank official was speaking at a panel discussion on the 'Withdrawal of Rs 500 / Rs 1000 Notes: Understanding Implications and Managing the Impact' organised by the Indian Chamber of Commerce today.
"There is a big gap between the supply and demand (of currencies)... If I talk about my micro credit operations in the country everyday we are collecting Rs 150 crore but the same amount is like to be disbursed... So I decided to stop the disbursement because cash is not there," Ghosh said stressing that the cash crunch was not felt in every states but only a few.
Incidentally, the Bank has suspended disbursals since November 9 and the suspension will be in force till November 19.
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