On Saturday, September 30, the Reserve Bank of India (RBI) issued a press release wherein it specified that the last date for depositing Rs 2000 notes has been extended to October 7, which means that the public has another week to deposit the currency in the banks. The RBI reiterated that the Rs 2,000 note will remain a legal tender even after the deadline to exchange ends. The previous deadline was today (September 30).
Notably, data has revealed that 96 per cent of the Rs 2,000 banknotes in circulation as on May 19 have since been returned.
₹2000 Denomination Banknotes – Withdrawal from Circulation – Reviewhttps://t.co/hOpOpA0J94
— ReserveBankOfIndia (@RBI) September 30, 2023
From October 8, banks will no longer accept 2,000 notes for exchange however people would still be able to exchange 2,000 notes. RBI specified options that people could avail for depositing or exchanging Rs 2000 banknotes from October 8, 2023.
The options specified are as follows:
- Rs 2000 banknotes can continue to be exchanged by individuals/entities at the 19 RBI Issue Offices up to a limit of Rs 20,000/- at a time.
- Individuals/Entities can tender Rs 2000 banknotes at the 19 RBI Issue Offices for credit to their bank accounts in India for any amount.
- Individuals/Entities from within the country can also send Rs 2000 banknotes through India Post, addressed to any of the 19 RBI Issue Offices for credit to their bank accounts in India.
- Such exchange or credit shall be subject to relevant RBI/Government regulations, submission of valid identity documents and due diligence as deemed fit by RBI.
- Courts, law enforcement agencies, government departments or any other public authority involved in investigation proceedings or enforcement, may, as and when required, deposit/exchange Rs2000 banknotes at any of the 19 RBI Issue Offices without any limit.
According to the RBI, it received Rs 3.42 lakh crore in Rs 2,000 notes from a total of Rs 3.56 lakh crore in circulation as of May 19. This has resulted in approximately Rs 0.14 lakh crore worth of Rs 2,000 notes remaining in circulation as of September 29.
RBI urged the public to deposit or exchange the Rs 2000 banknotes without any further delay.
It may be recalled that on May 19, 2023, the Reserve Bank of India announced that it was withdrawing the circulation of Rs 2000 currency notes. However, the central bank said that the currency notes will still continue to be legal tender, and added that the public can exchange the notes till 30 September. RBI also said that printing of the high-value banknotes was stopped almost five years ago, and most of the notes in circulation have reached their end of life and have become mutilated.
The Reserve Bank of India has advised banks to stop issuing 2000 denomination banknotes with immediate effect.
RBI clarified that the banknotes in the 2000 denomination will continue to be legal tender and that RBI had undertaken a similar withdrawal of notes from circulation in 2013-2014.
The Rs 2000 rupee note was introduced along with the new Rs 500 note after demonetisation on 8th November 2016, when existing Rs 500 and Rs 1000 notes were withdrawn. It was widely speculated at that time that the highest denomination introduced was a temporary provision.
