Grace period to exchange notes doesn’t apply to PIO and OCI: RBI clarifies

Persons of Indian origin (PIO) and Overseas Citizens of India (OCI) left with old Rs 500 and Rs 1000 notes will not be able to exchange them, Reserve Bank of India has clarified.

The grace period until 30 June 2017 to deposit scrapped Rs 500 and Rs 1000 notes is available only for Non-Resident Indians (NRIs) with Indian passport.

In an updated FAQ list on its website, RBI specifically said that PIOs and OCIs are excluded from the scheme.

The list also states that exchange facility will not be available outside India.

Screenshot from RBI website

According to a report on Times of India, PIOs and OCIs attempting to get their notes exchanged from the central bank are being turned away even though they have not been in India from November 8 to December 31.

Difference between NRI & PIO/OCI

Conditions for exchange of old notes

RBI on December 31 designated its five offices – Mumbai, New Delhi, Chennai, Kolkata, and Nagpur – for NRIs to exchange defunct currency notes post 50-day demonetization period that ended on December 30.

The central bank has also imposed certain conditions for availing extended facility for note exchanges.

NRIs and Indians returning from abroad will have to physically show the junked 500 and 1,000 rupee notes to Customs officials at the airport and get a declaration form stamped before they can deposit the demonetised currency in RBI during the grace period.

There is a limit of Rs 25,000 and a number of documents are needed for submission. You can read more about it here.


Published on 11 January 2017