Source: News Bharati English24 Nov 2016 19:49:42

New Delhi, Nov 24: The government has banned the over-the-counter exchange of old Rs 500 and Rs 1000 notes from Thursday midnight.

Government Hospitals, pharmacies, petrol pumps and railway counters were accepting the high denomination notes that ceased to be legal tender.

This step will encourage people to deposit their old notes in their bank accounts and those who still do not have one, they will open their accounts and deposit the money with them. Banks and post offices will accept the scrapped notes till December 30, 2016.

The government has allowed government and local bodies schools to accept fees up to Rs 2000 per student in old denominations. The payment of fees in central and State-run colleges can also be made using old Rs. 500 notes.

The payment of utilities using old denominations will be limited to water and electricity.

Rs 1,000 notes will not be eligible for the exemption, the government announced. There is a complete ban on the usage of these notes from today midnight.

Rs 1000 notes will not be accepted at petrol pumps and government hospitals.

Further tightening up cash transactions, foreign citizens will be allowed to exchange currency only up to Rs. 5,000 at a time.