K Chandrasekhar Rao seeks Prime Minister's help to go cashless

Hyderabad: Chief Minister K. Chandrasekhar Rao is likely to take up the continuing demonetisation crisis and seek the Centre’s help in the promotion of cashless transactions in the state with Prime Minister Narendra Modi during his visit to New Delhi. Mr Rao will be in Delhi on Thursday for the wedding reception of Union minister Nitin Gadkari’s daughter Ketki.

Sources said the government would seek the Centre’s support in the implementation of cashless transactions including making available swipe machines, improving internet services, banking system and other related mechanism. The Chief Minister plans to meet some Union ministers to discussed pending issues including dues from the Centre under various schemes.

Most rupay cards not activated
PSU banks have issued 70 lakh Rupay cards in TS so far, but 45 lakh cards are yet to be activated, which has become a major obstacle in launching of cashless transcations in the state. This was disclosed by finance minister Etela Rajender at a meeting with officials and bankers at the Secretariat late on Wednesday.

“Unless this issue is addressed on a war footing, achieving the target of cashless transactions would be difficult. Though 95 per cent of households have bank accounts as per official statistics, most of them exist on paper and have not been operative for years. These issues need to be resolved soon," he added.

Expressing displeasure at the RBI for not addressing the “change problem” in the state even a month after demonetisation, he said, “All the banks and ATMs continue to witness serpentine queues to withdraw money even after a month. This shows that adequate currency was not supplied by RBI.”

He said the RBI had sent Rs 15,563 crore new currency to the state so far, of which over 94 per cent comprised Rs 2000 notes resulting in severe shortage of change. He urged the RBI again to supply low value notes.