Patna, Nov. 12: Demonetisation of large currency notes has started showing effects on local trade, as eateries and small establishments without card-swiping facilities are losing out on business.
Foodies and Mausam Manch, restaurants at Maurya Lok Complex, were empty around 1.30pm-2pm today. Before Tuesday - when Prime Minister Narendra Modi demonetised Rs 500 and Rs 1,000 - the restaurants boomed with business around the same time, especially on weekends.
These two are among the many businesses in the city that do not have facility to charge customers on their credit or debit cards. Foodies owner T.R. Raman said footfall has fallen at his eatery.
"Residents have still not acquired the new currency notes, and the ATMs and banks were closed for two days. Now that they have opened, there is a serpentine queue outside every bank," Raman said, adding that 80 per cent of his business had been affected since Modi's announcement. " People who have withdrawn money want to save it now because the withdrawal limit has been fixed."
"The government should have given people some time before demonetising Rs 500 and Rs 1,000," he added.
Vikas Kumar, owner of a grocery store on Boring Canal Road, said: "People barely have cash to buy essentials. and most of them are busy making sure they have enough to fend for the next few days. I am not getting too many customers and those who are coming are making small purchases. We are also having a tough time because of the supermarts and online grocery stores that have card payment facilities."
Businesses with card facilities are also down. Rupa Sinha, owner of Yellow Chilli, said her business is down by 75 per cent. "We have a banquet hall for which we accept booking only in cash. The estimated amount is Rs 1 lakh onwards. In the past four days, around six people cancelled their booking because of the money crunch and because we are not accepting Rs 500 and Rs 1,000 notes," she said.
Some traders have, however, found a way to keep going - even if that means accepting the scrapped notes.
Biryani Mall on Fraser Road is accepting Rs 500 and Rs 1,000 notes. "We don't have card facility, so if we stop taking the Rs 500 and Rs 1,000 notes, our business will be totally hampered and we can't afford to do this," said a staff member at Biryani Mall, who did not wish to be named.
So, while Foodies and Mausam Manch are empty, ones like Biryani Mall is making brisk business.
Kishore, a staff at Ming's Chimney, a small food joint near AN College, also admitted to accepting the scrapped currency notes. "We are taking Rs 500 and Rs 1,000 notes only on the condition that customers purchase food worth Rs 500 or Rs 1,000 so that we don't have to return them change. Rather, we only need to get the currency exchanged at the bank."
Some lawyers, too, are accepting the scrapped notes. Patna High Court lawyer Raj Kumar Mishra said: "I have enough time to exchange the Rs 500 and Rs 1,000 currencies in the bank. So why should I lose out on clients by not accepting the old currency notes?"
