Last Day For Rs 2,000 Note Exchange Is Today, Clarifies RBI
The Reserve Bank of India (RBI) has issued a clarification, emphasising that Rs 2,000 banknotes will cease to be valid currency after 30 September, if not exchanged at a bank, as reported by a media house.
The RBI had initially removed these notes from circulation on 19 May and allowed nearly four months for individuals to deposit or exchange them. The original deadline for exchange or deposit was set for 30 September. However, there were reports circulating on Friday suggesting a possible extension until the end of October.
As of today, individuals can still visit their nearest bank branches to exchange or deposit their Rs 2,000 notes since banks are open on 30 September, which happens to be the fifth Saturday. It's important to note that holding an account in a bank is not necessary to exchange Rs 2,000 notes, as non-account holders can exchange these notes up to a limit of Rs 20,000 at a time in any bank branch. However, for depositing these notes, a bank account is required.
After 30 September, while these notes will remain legal tender, they will not be accepted for transactions, and individuals will need to visit the RBI to exchange them.
Regarding the return percentage of these notes, according to RBI data as of 2 September, approximately 93 per cent of the Rs 2,000 banknotes in circulation on 19 May had been returned to banks. Most of these returned notes, approximately 87 per cent, were in the form of deposits, while the remaining 13 per cent had been exchanged for notes in other denominations.
However, some media reports suggest that there are still around Rs 240 billion worth of these notes in circulation.
The RBI had introduced the Rs 2,000 denomination banknote in November 2016 to meet the currency demand following the withdrawal of Rs 500 and Rs 1,000 notes as legal tender. Printing of Rs 2,000 banknotes ceased in 2018-19 once a sufficient number of banknotes in other denominations became available.
