Jammu, Nov 9 (KNN) Although there is panic among small businesses over unease in doing day to day transactions for the next few days after Prime Minister Narendra Modi announced that currencies of the Rs 1,000 and Rs 500 denominations will not be a legal tender from midnight tonight, the micro, small and medium enterprises (MSMEs) sector has welcomes the move.

Talking to KNN, Lalit Mahajan, Chairman, Federation of Industries, Jammu, said, “We appreciate the step taken by our Hon'ble Prime Minister which will help in the total ban on the Fake Currency in the circulation in our currency.”

Mahajan, however, added that the small businessmen require lots of liquid money for day to day payments and transactions.

He said, “In respect of implications on the MSME Sector, the industry feels that due to restriction imposed for the maximum withdrawal of Rs.10000 P/day subject to Rs.20000 P/Week, the working of the MSME Sector will suffer.”

“The unit holders need cash on day to day basis for the payment of Freight and other production related expense and it is unjustified on the part of the Govt.to restrict the cash withdrawal maximum Rs.20000=00 P/Week,” he added.

Prime Minister Narendra Modi announced the game changing move yesterday to demonetise Rs 500 and Rs 1,000 notes, a move to check black money in the country. People can deposit notes of Rs 1000 and Rs 500 in their banks from November 10 till December 30, 2016. (KNN Bureau)