93% of Rs 2,000 notes returned since May when it was withdrawn, says RBI
NEWDELHI,SEPT 1: The Reserve Bank of India (RBI) said on Friday that the total value of Rs 2,000 banknotes that had been returned stood at Rs 3.32 lakh crore as of August 31, 2023.
“According to the data received from the banks, the total value of Rs 2,000 banknotes received back from circulation is Rs 3.32 lakh crore up to August 31, 2023,” the RBI said.
With this, the total value of Rs 2,000 notes in circulation now stands at Rs 0.24 lakh crore. “Consequently, Rs 2,000 banknotes in circulation as at the close of business on August 31, 2023 stood at Rs 0.24 lakh crore. Thus, 93 per cent of the Rs 2,000 banknotes in circulation as on May 19, 2023, have since been returned,” the central bank added.
The central bank said information gathered from major banks suggested that approximately 87 per cent of the total Rs 2,000 banknotes returned from circulation are in the form of deposits, with the remaining 13 per cent having been exchanged for banknotes of other denominations.
“Members of the public are requested to utilise the remaining period until September 30, 2023, to deposit and/or exchange the Rs 2,000 banknotes held with them,” the RBI added.
It may be noted that the RBI had declared the withdrawal of these high-value notes in May, permitting exchange or deposit until September 30.
The decision to discontinue the circulation of Rs 2,000 denomination banknotes was made in accordance with the RBI’s ‘Clean Note Policy’.
A few months ago, a study published by the State Bank of India said the removal of Rs 2,000 notes from circulation will have positive implications for the country’s banking system.
It added that the move will boost bank deposits, and repayment of loans, and have an overall positive impact on consumption and the Reserve Bank of India’s retail central bank digital currency .
-The India Today
