Note Ban: Foreign Diplomats to Get Cash On Priority, Says MEA

The much-awaited trigger for making homes affordable for end users is here. The government’s decision to ban Rs 500 and Rs 1,000 currency notes is expected to hit the real estate sector hardest. (Photo: Reuters)

Banks have been instructed to allow foreign diplomats to withdraw money on a priority basis, said the Ministry of External Affairs in a statement issued on Thursday.

Two days ago, Russian envoy Alexander Kadakin had written to the Ministry of Affairs (MEA) about the cash crunch following the demonetisation of Rs 500 and 1,000 notes.

In a statement to the media, the MEA said, “The Foreign Secretary had a very detailed and constructive meeting with the Dean of Diplomatic Corps on Thursday. We hope the missions will bear with the temporary inconvenience arising out of demonetisation.”

Finance Ministry as a consequence is asked to issue directives to banks to allow embassy officials with IDs to withdraw money on priority.

MEA statement

Russia had strongly protested against India’s cash shortage affecting the working of its Mission after demonetisation. It wanted a quick resolution of the issue, failing which it said it may explore other options, including summoning the Indian diplomat in Moscow.

There are approximately 200 staffers in Russian diplomatic mission in the national capital. Russia is not the first one to complain about the demonetisation-induced restrictions.

The Dean of the Diplomatic Corps had also asked India to relax the restrictions on withdrawal of money from banks.

The MEA’s statement also mentioned that the Foreign Secretary had met the Dean of the Diplomatic Corps and discussed the issue.

“We are confident that the Missions would bear with the temporary difficulties that arise in that process, even as we seek to address their concerns,” the statement said.

(With inputs from PTI)