The government on Monday increased the withdrawal limit of debit cards from Rs 4,500 per day to Rs 10,000 per day. The move comes at a time when the nation is reeling under cash crunch due to demonetisation.
The limit for withdrawal from current accounts has been raised from Rs 50,000 to Rs 1,00,000 per week. The relaxation extends to overdraft and cash credit accounts too.
The RBI had earlier waived all transaction charges for debit and credit cards in a bid ease incovienience and promote electronic trasactions.
The country faced a massive cash crunch after Prime Minister Narendra Modi, on November 8, announced that old Rs 500 and Rs 1,000 would cease to be legal tenders.
Althought the situation has considerably eased, the shortage of currency in the ATMs still continues.