Rajkot: While UPI is the most used payment method, especially in retail, cash still rules daily trade in many parts of the city. In the old city’s centuries-old markets and among unorganized players such as vegetable and fruit vendors, small traders and autorickshaw drivers, cash remains king. Indian weddings are also incomplete without the exchange of crisp currency notes. However, a shortage of notes and coins in small denominations — Rs 10 and Rs 20 — is causing daily headaches for both traders and customers. The Reserve Bank of India introduced Rs 10 and Rs 20 coins a few years ago. Rajkot was once among the cities where people were reluctant to accept these coins. Visitors from other cities were often surprised when shopkeepers refused to take them. The district administration then stepped in. Traders were told to put up boards saying “Rs 10 and Rs 20 coins are accepted here”. Auto drivers put similar stickers in their vehicles. Social media campaigns further helped shift public perception. Today, these coins are widely accepted. However, their shortage has now become a pressing concern. Hitesh Anadkat, president of Rajkot Textile Merchants Association, said people struggle to pay for groceries, medicines, vegetables and small services such as photocopies. “Customers sometimes must buy extra items to adjust the change. In other cases, traders bear the loss. We made a representation on this issue to the lead bank in Rajkot three days ago,” he said. According to traders, the small sums they forgo for lack of change add up and become significant in a highly competitive market. Areas such as Dharmendra Road and Lakhajiraj Road, known for their old markets dealing in garments, utensils and imitation jewellery, get many visitors from rural Saurashtra. Most of these customers prefer cash payments. Traders estimate that more than 60% of transactions in these markets are still in cash. Mansukh Sakariya, leader of the opposition in the Rajkot district panchayat, wrote to the Union finance minister seeking intervention. “It is the wedding season, and many rituals require small denomination notes. There is a huge shortage and people are forced to use mutilated notes rather than fresh currency,” he said. Farmers, rural customers and senior citizens who are not familiar with digital payment platforms are among the worst hit by this shortage.
