Urban cooperative banks in Gujarat are facing difficulties meeting the festive demand for fresh currency notes, with several institutions reporting a significant gap between their requirements and actual supplies.
According to a report published by The Times of India, the Gujarat Urban Cooperative Banks Federation (GUCBF) and South Gujarat Cooperative Banks’ Association (SCOBA) have approached the Reserve Bank of India (RBI), seeking additional currency allocations ahead of Diwali.
GUCBF Chairman Jyotindra Mehta indicated that many banks had received only around 10% of their requested fresh notes. The shortage is particularly severe in smaller denominations of Rs 10, Rs 20 and Rs 50.
The situation has forced some banks to explore alternative arrangements. Surat People’s Cooperative Bank has reportedly deployed teams to Mumbai, accompanied by security personnel, to procure fresh currency.
Bank representatives fear that continued shortages could inconvenience customers and affect customer retention during the festive season.
