New Delhi [India], July 24 : The value of Rs 2,000 denomination banknotes in circulation at the end of June was Rs 0.84 lakh crore, and the percentage of such banknotes in overall rupee in circulation was 2.51 per cent, MoS finance Pankaj Chaudhary informed Parliament on Monday.
The total value of Rs 2000 banknotes in circulation was Rs 3.56 lakh crore at the close of business on May 19, 2023 - when the RBI decided to withdraw the note.
Meanwhile, people can exchange or deposit their Rs 2,000 notes in bank branches and regional branches of RBI by September 30. A non-account holder also can exchange Rs 2000 banknotes up to a limit of Rs 20,000 at a time at any bank branch.
September 30 has been decided as the last date for the purpose of completing the exercise in a time-bound manner and to provide adequate time to the public.
MoS finance was asked whether the government intends to extend the deadline for the exchange of Rs 2000 notes in banks beyond September.
“At present, this matter is not under consideration,” the minister said.
On May 19, the RBI decided to withdraw the Rs 2000 denomination banknotes from circulation but said it would continue to remain as legal tender. However, RBI has advised banks to stop issuing such banknotes with immediate effect.
The Rs 2000 denomination banknote was introduced in November 2016 under Section 24(1) of the RBI Act, 1934, 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 2,000 banknotes was met once banknotes in other denominations became available in adequate quantities. Therefore, the printing of Rs 2,000 banknotes was stopped in 2018-19.
Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor