The Reserve Bank of India has pulled Rs 2,000 currency notes out of circulation today. The RBI said that if somebody has Rs 2000 curreny notes, it can either be deposited with banks or exchanged by September 30.
The central bank said that the bank notes in Rs 2,000 denomination will continue to be a legal tender. This means, if you have Rs 2000 note, you can use it to buy things till September 30.
The RBI said that about 89 per cent of the 2,000 denomination banknotes were issued prior to March 2017 and are at the end of their estimated life-span of 4-5 years.
Should you be worried? Not at all. The RBI has given adequate time to citizens to get their noted exhanged starting from May 23, 2023.
To ensure operational convenience, the RBI said exchange of Rs 2,000 bank notes into bank notes of other denominations can be made up to a limit of Rs 20,000 at a time at any bank.
The Reserve Bank of India has also advised banks to stop issuing Rs 2,000 denomination banknotes with immediate effect. This means, banks won't issue any Rs 2000 notes now.
You can also get your Rs 2,000 note up to the limit of Rs 20,000 at a time exchanged from the 19 Regional Offices (ROs) of the RBI from May 23.
The Rs 2,000 denomination bank note was introduced in November 2016, primarily to meet the currency requirement of the economy after the withdrawal of legal tender status of all Rs 500 and Rs 1,000 bank notes then.
Withdrawal of Rs 2,000 bank notes also means that India's highest denomination currency note will now be Rs 500.
It also means that RBI won't be printing any new notes of the Rs 2,000 denomination.