We have enough cash, assures SBI chairman Rajneesh Kumar

After the Union Finance Minister Arun Jaitley took to Twitter to announce that the temporary shortage of cash would be dealt with, now, Rajneesh Kumar, chairman of State Bank of India has given his assurance. 

Kumar said that the cash crisis is not big and we have enough cash in circulation. 

SBI Chairman Rajnish Kumar said, “To say that there is shortage of currency is not a right statement to make. The currency has in fact increased in the last one year, the statistics is before you.”

However, he also stated that the crisis happened due to the procurement season. Kumar had also blamed the salary season for the imbalance. 

SBI's boss also told about the states where the bank has infused more cash due to the increased demand. “Punjab, Madhya Pradesh, Uttar Pradesh are seeing heightened demand due to procurement season, we have anticipated that the requirement for currency will go up. Andhra and Telangana are states that need more supplies,” he said. 

He said that the notes would be supplied to these states from the areas where the money is in surplus. “We are in regular touch with RBI regarding the deployment of specific denomination,” he added.

However, he did not disclose the specific areas due to the security reasons. 

Earlier, amidst the cash crunch reports in many states in India including Gujarat and Uttar Pradesh, Union Finance Minister Arun Jaitley on Tuesday took to his Twitter account to assure that there is no cash crisis. Finance Minister Arun Jaitley tweeted that he had reviewed the cash situation. 

Have reviewed the currency situation in the country. Over all there is more than adequate currency in circulation and also available with the Banks. The temporary shortage caused by ‘sudden and unusual increase’ in some areas is being tackled quickly.

— Arun Jaitley (@arunjaitley) April 17, 2018

"Have reviewed the currency situation in the country.  Over all there is more than adequate currency in circulation and also available with the Banks.  The temporary shortage caused by ‘sudden and unusual increase’ in some areas is being tackled quickly", Jaitley tweeted. 

It has also been reported that to take a stock of the situation, the Reserve Bank of India on Tuesday formed a committee to tide over the cash crunch crisis that has hit a few states in the country.