RBI to withdraw the ₹2000 denomination notes from circulation,
The Reserve Bank of India (RBI) has made a big announcement on Friday regarding the Rs 2000 note. The central bank has said that Rs 2000 notes will be withdrawn from circulation.
This move of the Reserve Bank once again brought back the memories of demonetisation. However, this time people do not need to panic in any way, because for the time being, Rs 2000 notes will continue to circulate in the market.
Till when can the notes be exchanged?
The Reserve Bank has set a deadline of September 30 to exchange Rs 2000 notes. According to the announcement of RBI, the new note of 2000 rupees will not be issued anymore. However, this does not mean that the validity of the Rs 2000 note will end. For the time being, Rs 2000 notes will remain legal tender.
RBI has advised banks to stop issuing Rs 2000 notes with immediate effect. The notes in the market can be deposited in banks or can be exchanged till September 30, 2023.
According to RBI, Rs 2000 notes can be exchanged for up to Rs 20,000 in one go from May 23 to September 30.
When was the note issued?
On 8 November 2016, a new Rs 2000 note with the theme of Mangalyaan was introduced. Actually, at that time the notes of Rs 500 and 1000 rupees were discontinued. After which a new note of Rs 500 and Rs 2000 was introduced.
The Reserve Bank believed that the Rs 2,000 note would soon compensate for the value of the Rs 500 and Rs 1,000 notes.
Significantly, the new 2000 rupee notes were already expected to be taken out of circulation, as RBI was taking steps in this regard in a very planned manner.
Banks were directed to refrain from giving back into circulation the Rs 2,000 notes found over the counter and return it to the RBI. Even on Friday, banks have been told not to give Rs 2,000 notes to customers.
Further details can be found on the official RBI website link https://rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=55707
