It looks like the demonetization drive initiated by Modi government is making the people of Goa very upset and they have decided to trust the Dollars ($) more than Indian Rupees (INR). People do not mind paying double the amount in Indian rupees to get hold of the US Dollars. The present market rate of One Dollar has gone up to Rs. 68 and black marketers are selling the same in North Goa for Rs. 125 per Dollar. Read the complete report here.
The demonetization drive has completely messed up the daily routine of people that are started standing in long Q for the exchange and withdrawal of money from the banks. Banks initially did not have enough cash to dispense and ATMs have been shut down in the state. People had no option but to wait in the Q for getting their hands on the new currency. But now the situation is started stabilizing.
Goa being the tourist place has received a huge setback as most of the business are dependent on cash. Tourist already traveled to Goa are in Fix and new travel plans have been put on the hold by many. According to the latest development in the North Goa, People are now queuing up outside the money exchange to get hold of the Dollars since it is presently considered as the safe haven currency and it has also surged.
According to the sources, Though the Reserve Bank of India’s reference rate for a dollar stands at 67.91, foreign currency exchanges are selling dollars at 69-70. But the real street value of the dollar has nearly doubled to hover anywhere between 90-125 per dollar along the North Goa tourist belt.
That is not to say that the demand for dollars has not affected the organized forex sector. “There is a huge demand for the dollar and its realization value has gone up tremendously. Earlier, forex players would sell the dollar at IBR (interbank rate) plus 30 paise per dollar but now it has gone up to IBR plus a rupee per dollar,” an official with a foreign exchange company said.
But the sources have revealed that the rates of the Dollar are better in Goa compared to the others states in India. In Goa, the Dollar officially retails at 69 while the places like Mumbai and Kolkatta it has been sold for Rs. 70+
A traveler or retail customer can buy a maximum of $150. Organized forex dealers have already stopped accepting demonetized notes, thus closing the door for those looking to convert unaccounted cash into foreign currency, but the street market is open for the people who wants to exchange the dollars as higher rates with the Indian Rupees, said the sources.