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Over 97% of ₹2,000 banknotes returned, only ₹10,000 cr with public: RBI
The value of ₹2,000 banknotes in circulation has declined from ₹3.56 lakh crore to ₹0.10 lakh crore, RBI said.
The Reserve Bank of India (RBI) on Wednesdays said over 97 per cent of the ₹2,000 banknotes in circulation have been returned to the banking system, and only ₹10,000 crore worth of such notes are still in public circulation.
"The total value of ₹2,000 banknotes in circulation, which amounted to ₹3.56 lakh crore as at the close of business on May 19, 2023 when the withdrawal of ₹2,000 banknotes was announced, has declined to ₹0.10 lakh crore as at the close of business on October 31, 2023," the central bank said in a circular.
RBI, in pursuance of the “Clean Note Policy”, decided to withdraw the ₹2000 denomination banknotes from circulation. The central bank also advised other banks to not issue cash in ₹2000 banknotes.
While the public was asked to deposit the banknote, the central bank said that it would remain as a legal tender.
RBI also said that the objective of introducing ₹2000 banknotes was met once banknotes in other denominations became available in adequate quantities. Therefore, the printing of ₹2000 banknotes was stopped in 2018-19.
Accordingly, those who had the banknotes deposited them into their bank accounts and/or exchanged them for banknotes of other denominations at any bank branch.
As the deadline of October 7, after one extension, ended, the banks have stopped accepting ₹2000 banknotes for credit to accounts or exchange to other denomination banknotes.
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The ₹2000 banknotes however continue to be allowed to be presented at the 19 Regional Offices of RBI having Issue Departments (RBI Issue offices) for credit to the bank accounts in India or exchange.
