RBI withdraws Rs 2000 note from circulation, to remain legal tender; exchange facility available till Sept 30
First Published: 19th May, 2023 19:35 IST
RBI has advised banks to stop issuing Rs 2000 denomination banknotes with immediate effect
The Reserve Bank of India has decided to withdraw the Rs 2000 denomination banknotes from circulation but they will continue to remain as legal tender.
It has advised banks to stop issuing Rs 2000 denomination banknotes with immediate effect.
Meanwhile, RBI said that citizens will continue to be able to deposit Rs 2000 banknotes into their bank accounts and/or exchange them into banknotes of other denominations at any bank branch up to September 30, 2023.
The Rs 2000 denomination banknote was introduced in November 2016, primarily to meet the currency requirement of the economy in an expeditious manner after the withdrawal of the legal tender status of all Rs 500 and Rs 1000 banknotes in circulation at that time.
The objective of introducing Rs 2000 banknotes was met once banknotes in other denominations became available in adequate quantities. Therefore, the printing of Rs 2000 banknotes was stopped subsequently in 2018-19, stated RBI.
About 89 per cent of the Rs 2000 denomination banknotes were issued prior to March 2017 and are at the end of their estimated life span of four-five years.
The total value of these banknotes in circulation has declined from Rs 6.73 lakh crore at its peak as of March 31, 2018 (37.3 per cent of Notes in Circulation) to Rs 3.62 lakh crore constituting only 10.8 per cent of Notes in Circulation on March 31, 2023.
“It has also been observed that this denomination is not commonly used for transactions. Further, the stock of banknotes in other denominations continues to be adequate to meet the currency requirement of the public,” RBI said Friday.
“In order to ensure operational convenience and to avoid disruption of regular activities of bank branches, exchange of Rs 2000 banknotes into banknotes of other denominations can be made upto a limit of Rs 20,000 at a time at any bank starting from May 23, 2023,” RBI said.
Also Read: Japan: PM Modi interacts with Indian diaspora in Hiroshima
COMMENTS
TOPMOST STORY NOW
Live MANIPUR – QUEST FOR PEACE. The Big Debate with WASBIR HUSSAIN
03rd May 2024Live Current law and order situation will not be allowed to affect tourism: Meghalaya min Paul Lyngdoh
03rd May 2024Live Assam: Former Hill Area Development (HAD) minister Sum Ronghang passes away at 61
03rd May 2024Live Manipur: Kuki-Zo community marks 1 year of violence today as “Separation Day” in Kangpokpi
03rd May 2024WE RECOMMEND
Suspense continues over Rahul, Priyanka’s candidatures from Raebareli and Amethi; final decision today
The sources added that along with Congress leaders, its partners in the INDIA bloc also suggested that Rahul contest Amethi.
02nd May 2024Close to 100 schools in Delhi-NCR get bomb threat mails. Who sent the mails? What is the truth?
According to Delhi Police, the bomb threats sent via email to schools originated from Russia, as indicated by the IP address of the email, which was traced back to the domain "mail.ru"
01st May 2024Multiple schools across Delhi-NCR receive bomb threat, students evacuated; Delhi Police begin probe
Bomb detection teams, bomb disposal squads and officials of Delhi Fire Service have been rushed to schools and search operations are underway, a police officer said.
01st May 2024Delhi HC directs government to frame policy for compensating deaths due to Chinese ‘manjha’
In 2017, the Chinese Manjha was banned by the Indian government.
01st May 2024Licence of 14 Patanjali products cancelled. Check details here
In an affidavit filed in the Supreme Court, the licencing body said that it had suspended licenses of 14 products manufactured by Patanjali's Divya Pharmacy in connection with the misleading advertisements case.
30th April 2024