Aishwarya Kumar, Pune
The RBI has extended the deadline to exchange INR 2000 rupee notes from the previously declared September 30, 2023 to October 7, 2023 to avoid any last-minute rushes and hassles.
According to the data retrieved from banks as of May 19, 2023, the RBI has quoted a total of 3.56 lakh crore worth of INR 2000 rupee notes that are in circulation, and a total of 3.42 lakh crore has been received. The extension aims for approximately the collection of the remaining 0.14 lakh crore of 2000 rupee notes.
The 2000 rupee note was legally brought in as a legal currency on November 8, 2016. The introduction of the 2000 rupee note was done to curb corruption and provide a way to control black currency and terror funding. The decision to introduce a new denomination of currency was simultaneous with the demonetisation of the existing Rupee 500 and 1000 notes. The printing of the 2000 Rupee note was stopped in 2018-19 as soon as the currency of other denominations was available in sufficient quantities. Additionally, the rupee was decided to pull out of circulation for the same reason by the RBI team led by Governor Shaktikanta Das.
Image credit: Reuters
The 2000 rupee note will now be out of circulation, ensuing in compliance with the central bank’s ‘Clean Note Policy’. The clean note policy aims to ensure that clean and good-quality notes are available for circulation and refrain from circulating old or soiled notes over the counter. About 89% of the 2000 rupee note in circulation was issued prior to March 2017 and only had an estimated life of four to five years.
The clean note policy aims to secure India’s integrity by providing the public with clean, durable, and secure bank notes as quoted by the RBI press release.