Maharashtra government today asked the education department to issue instructions to the universities and other educational institutes to accept examination and tuition fees through cheques and not insist on demand drafts or pay-orders.
Chief Minister Devendra Fadnavis announced the decision, which comes as a relief to the students in the wake of demonetisation, on Twitter this evening.
He issued the directive after holding a meeting with officials at his residence Varsha.
Similar instructions would be given through the Maharashtra state board of technical education to the affiliated institutes, the CM tweeted after the meeting.
The decision will benefit millions of students who would be paying mid-term fees in coming days.
The banks which are overburdened with people rushing to withdraw the money or swap the old Rs 500 and Rs 1,000 notes could not have handled additional work of issuing demand drafts at this juncture, an official said.
Meanwhile, the school bus operators who had said the buses would not ply if the payments were not made in time agreed to continue their service after holding discussions with the government, Fadnavis tweeted.