RBI To Stop Circulation Of Rs 2000 Currency Notes, Will Remain Legal Tender

New Delhi: Reserve Bank of India (RBI) has announced to withdraw Rs 2,000 currency notes. However, the notes will continue to be legal tender till September 30, says RBI.

In a statement on Friday, the central bank stated: “In pursuance of the “Clean Note Policy” of the Reserve Bank of India, it has been decided to withdraw the ₹2000 denomination banknotes from circulation. The banknotes in ₹2000 denomination will continue to be legal tender. To complete the exercise in a time-bound manner and to provide adequate time to the members of public, all banks shall provide deposit and/or exchange facility for ₹2000 banknotes until September 30, 2023.”

₹2000 Denomination Banknotes – Withdrawal from Circulation; Will continue as Legal Tenderhttps://t.co/2jjqSeDkSk

— ReserveBankOfIndia (@RBI) May 19, 2023

RBI has requested banks to provide deposit and exchange facility of Rs 2000 notes until September 30, 2023. In the statement, RBI clarified that exchange facility for Rs 2000 bank notes would be available from May 23.

Exchange of Rs 2000 banknotes into other denominations can be made upto a limit of Rs 20,000 at a time at any bank starting from May 23, 2023. Reserve Bank of India has advised banks to stop issuing Rs 2000 denomination banknotes with immediate effect though banknotes in Rs 2000 denomination will continue to be legal tender.

RBI Introduced Rs 2000 Notes After Denomination  

On September 8, 2016, Central government banned old currency notes of valuation of Rs 500 and Rs 1000 with the aim to stop black money. Thereafter, the central government brought new notes of the valuation of Rs 500 and Rs 2000.