₹2.5 LAKH CRORE WILL NOT COME BACK INTO THE SYSTEM: SBI
MUMBAI:Though there has been a surge in bank deposits after the demonetisation of ₹500 and ₹1,000 notes that formed 86% of the currency in circulation by value, 16% of the ₹15.44 lakh crore won’t return to the system
As per SBI estimates, the highvalue notes that will return to the system will be worth around ₹13 lakh crore by March 31, 2017.
“As per a conservative estimate, this means around ₹2.5 lakh crore (of the total ₹15.44 lakh crore) won’t come back into the system,” SBI said in a report on Friday.
As of March 2016, many reports said the notes in circulation were worth ₹14.18 lakh crore, it noted.
“In total, between November 10 and 27, ₹8.44 lakh crore was deposited and exchanged in the banks…andhencethetotalfor3 days will be ₹1.12 lakh crore,” the report estimated.
It highlights that the daily working day average deposited/ exchanged at banks has declined significantly by ₹10,400 crore from ₹60,500 crore (Nov 10-18 ) to ₹50,100 crore (Nov 19-27), i.e. a decline of 17%.
Hence, from November 10 to 30, the total amount deposited at banks will be ₹9.8 lakh crore (however some unconfirmed reports indicate this amount is around ₹11 lakh crore due to the month-end activity).
The report estimated that ₹3.3 lakh crore would return to the system in December.