₹2,000 withdrawal: 88% of the banknotes in circulation returned

BL Mumbai Bureau Updated - August 01, 2023 at 04:50 PM.

The total value of ₹2,000 banknotes received back from circulation by banks is ₹3.14-lakh crore up to July 31, 2023, according to Reserve Bank of India.

This indicates that 88 per cent of the ₹2,000 banknotes in circulation as of May 19, 2023, have since been returned. As of the close of business on July 31, ₹42,000 crore worth of ₹2,000 banknotes were still in circulation.

As part of its ‘Clean Note Policy’, the Reserve Bank of India had announced the withdrawal of ₹2,000 banknotes on May 19, 2023, from circulation due to their limited use in transactions. The stock of banknotes in other denominations remains sufficient to meet the currency requirements of the public.

The total value of ₹2,000 banknotes in circulation, which amounted to ₹3.62 lakh crore on March 31, 2023, had declined to ₹3.56-lakh crore as at the close of business on May 19, 2023.

RBI said data collected from major banks indicates that of the total banknotes in ₹2,000 denomination received back from circulation, about 87 per cent is in the form of deposits and the remaining around 13 per cent has been exchanged into other denomination banknotes.

The central bank requested members of the public to utilise the next two months to deposit and/or exchange the ₹2,000 banknotes held with them to avoid any rush in the last few days before September 30, 2023.

Published on August 1, 2023 10:59

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