PMC Bank: Withdrawal limit for depositors raises to Rs 1 lakh

RBI in a press release said,"On a review of the bank’s liquidity position, its ability to pay the depositors and with a view to mitigating the difficulties of the depositors during the prevailing COVID-19 situation, it has also been decided to further enhance the limit for withdrawal to Rs 1,00,000 per depositor, inclusive of Rs 50,000 allowed earlier."

Mumbai: The Reserve Bank of India (RBI) on Friday extended the withdrawal limit for depositors of Punjab and Maharashtra Cooperative Bank Limited (PMC) to Rs 1,00,000.

The withdrawal limit was last enhanced to Rs 50,000 per depositor on November 5, 2019.

RBI in a press release said,"On a review of the bank’s liquidity position, its ability to pay the depositors and with a view to mitigating the difficulties of the depositors during the prevailing COVID-19 situation, it has also been decided to further enhance the limit for withdrawal to Rs 1,00,000 per depositor, inclusive of Rs 50,000 allowed earlier."

According to the press release, with the above relaxation, more than 84% of the depositors of the bank will be able to withdraw their entire account balance. All other terms and conditions of the Directives under reference shall remain unchanged.

The Reserve Bank is closely monitoring the position of the bank and shall continue to take further steps as are necessary to safeguard the interest of the depositors of the bank, the release said.

The restrictions which were earlier imposed till June 23 2020 have been extended for a further period of six months to December 22, 2020.

(ETV Bharat Report)