Rs. 2000/- Denomination Banknotes - Withdrawal from Circulation - Will continue as Legal Tender

CA Mayur Mamtora |
  1. RBI instructs all banks to discontinue issuance of Rs. 2000/- banknotes with immediate effect dated May 19, 2023.
  2. Rs. 2000/- banknotes will continue to be a Legal Tender.
  3. Member of public are encouraged to either deposit or exchange Rs. 2000/- notes into their bank branches.
  4. Deposit into bank accounts can be made without restrictions subject to compliance with KYC & Other applicable statutory/regulatory requirements.
  5. The facility for deposit/exchange of Rs. 2000/- banknotes shall be available for members of the public upto September 30, 2023.
  6. The facility for exchange of Rs. 2000/- banknotes will be available at the bank branches starting from May 23, 2023 upto a limit of Rs. 20000/- at a time. The facility for exchange will also be available at the 19 Regional Offices (#1) of the RBI having issue Departments until September 30, 2023.
  7. The exchange facility shall be provided free of cost by the banks.
  8. Business Correspondents (BCs) may also be allowed to exchange Rs. 2000/- banknotes upto a limit of Rs. 4000/- per day for an account holder.
  9. Reasons for Withdrawal of Rs. 2000/- notes as stated by RBI:
    • Majority of Rs. 2000/- banknotes were issued prior to March 2017 and are at the end of their estimated lifespan of 4-5 years.
    • It was observed that Rs. 2000/- denomination was not commonly used for transactions.
    • The stock of banknotes in other denominations continue to be adequate to meet the currency requirements of the public.
    • Pursuance of "Clean Note Policy" of RBI

(#1) Ahmedabad, Bangalore, Belapur, Bhopal, Bhubaneswar, Chandigarh Chennai, Guwahati, Hyderabad, Jaipur, Jammu, Kanpur, Kolkata, Lucknow, Mumbai, Nagpur, New Delhi, Patna and Thiruvananthapuram

Comments

  1. CA Mayur MamtoraSaturday, September 30, 2023 at 5:36:00 PM GMT+5:30

    Update: https://www.rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=56475

    RBI extends deadline to exchange/deposit Rs. 2000/- banknotes to 07th October, 2023.

    With effect from 08th October, 2023 such facility will be available at 19 RBI Issue Offices only upto a limit of Rs. 20,000/- at time.

    96% of the banknotes have been returned to RBI.

    Individuals / Entities from within the country can also send ₹2000 banknotes through India Post, addressed to any of the 19 RBI Issue Offices for credit to their bank accounts in India.

    Rs. 2000/- banknote shall continue to be a legal tender.

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