The Central bank on Monday announced lifting of daily restrictions on cash withdrawals from ATMs as well as current accounts. The latest move comes close on the heels of the Election Commission expressing its displeasure to the RBI for rejecting the request to enhance the cash withdrawal limit for candidates to Rs 2 lakh per week.
After the decision of the RBI, the Election Commission has decided to ask all candidates to open current accounts for meeting election expenses, sources said.
Such a move will help candidates to have enough hard currency as well as overcome problems faced with the existing Rs 24,000 per week cash limit set on savings accounts, the sources said. Candidates are bound to open an election account for meeting poll-related expenditure which is monitored by the EC. Since there is no mention of any specific category of account that needs to be opened, candidates mostly opt for savings account.
Source: The Sangai Express