RBI stops 2000 rupees circulation. The Reserve Bank of India (RBI) has advised banks to cease issuing 2000 rupees denomination banknotes with immediate effect.
However, banknotes in 2000 rupees denomination will still be legal tender. The issuance of the Rs 2000 denomination was launched in November 2016 to fulfill the currency needs of the economy after the withdrawal of the legal tender status of all Rs 500 and Rs 1000 banknotes. Following the availability of other denominations, the printing of 2000 rupees banknotes stopped in 2018-19.
As of March 31, 2023, the value of these banknotes had declined from Rs 6.73 lakh crore to Rs 3.62 lakh crore, constituting 10.8% of Notes in Circulation. These banknotes are not commonly used for transactions. Additionally, the stock of banknotes in other denominations is enough to meet the public’s currency requirement.
RBI stops circulation of Rs 2000. As a part of the ‘Clean Note Policy’ of the Reserve Bank of India, banknotes in Rs 2000 denomination will be withdrawn from circulation but will continue to be legal tender. Members of the public can deposit Rs 2000 banknotes into their bank accounts and/or exchange them for banknotes of other denominations at any bank branch.
The exchange of Rs 2000 banknotes into banknotes of other denominations can be made up to a limit of Rs 20,000 at a time at any bank starting from May 23, 2023. The RBI has asked banks to provide deposit and/or exchange facilities for Rs 2000 banknotes until September 30, 2023.
Read Also: picnic spots Chennai