Tuesday, September 16, 2025
19.3 C
Srinagar

RBI to withdraw Rs 2,000 currency notes from circulation, but will continue as legal tender

New Delhi, May 19 :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.

Hot this week

Handicrafts, local products shine at SHG stalls in Bandipora’s Gurez valley

Bandipora: The National Rural Livelihoods Mission (NRLM) continues to...

Wild bear attack leaves three injured in Pulwama’s Khrew area

Pulwama: A wild bear attack in Zantrag village of...

Calls grow for ACB probe as encroachments rise unchecked on PMGSY road in north Kashmir

Kupwara: Unregulated construction activity along the Zachaldara–Satkoji road in...

Save Apple, Save Kashmir: AIP stages protest in Srinagar over highway blockade

Srinagar: Awami Ittehad Party (AIP) workers led by MLA...

Petrol pumps dry, rising prices in Valley as heavy vehicles barred on Srinagar-Jammu Highway

Srinagar: The continued restriction on heavy motor vehicles along...

Topics

Handicrafts, local products shine at SHG stalls in Bandipora’s Gurez valley

Bandipora: The National Rural Livelihoods Mission (NRLM) continues to...

Wild bear attack leaves three injured in Pulwama’s Khrew area

Pulwama: A wild bear attack in Zantrag village of...

Calls grow for ACB probe as encroachments rise unchecked on PMGSY road in north Kashmir

Kupwara: Unregulated construction activity along the Zachaldara–Satkoji road in...

Save Apple, Save Kashmir: AIP stages protest in Srinagar over highway blockade

Srinagar: Awami Ittehad Party (AIP) workers led by MLA...

Petrol pumps dry, rising prices in Valley as heavy vehicles barred on Srinagar-Jammu Highway

Srinagar: The continued restriction on heavy motor vehicles along...

Centre steps in to address highway havoc

Gadkari likely to chair high-level meeting today to discuss...

Rotten meat sellers in Kashmir face jail, fines under law, licences at risk

Srinagar:Rotten meat sellers in Kashmir are facing harsh legal...

Rumours trigger rush at Srinagar fuel stations as people fear petrol shortage

Srinagar, Sep 15,: Panic buying gripped Srinagar on Monday...
spot_img

Related Articles

Popular Categories

spot_imgspot_img