Overview of Rs 2000 Note Withdrawal
The Reserve Bank of India (RBI) has provided a comprehensive update on the status of the Rs 2000 denomination banknotes, following their withdrawal from circulation. As of Thursday, the RBI reported that an impressive 97.92% of the Rs 2000 notes in circulation at the time of the withdrawal announcement have been returned to the banking system. This figure represents a significant compliance rate among the public.
Details of the Withdrawal Process
On May 19, 2023, the RBI declared its decision to withdraw the Rs 2000 banknotes from circulation. At that time, the total value of these notes in circulation was approximately Rs 3.56 lakh crore. Since the announcement, the total value of Rs 2000 notes that have been returned has decreased to Rs 7,409 crore as of July 31, 2024. This reduction underscores the substantial progress made in removing these notes from public circulation.
Facilities for Depositing and Exchanging Notes
To facilitate the return of the Rs 2000 banknotes, the RBI had established several mechanisms. The facility to deposit or exchange these notes was made available at all bank branches across the country until October 7, 2023. This measure was aimed at providing ample opportunity for the public to comply with the withdrawal directive.
Following this period, the RBI’s 19 issue offices continued to accept Rs 2000 banknotes for deposit into bank accounts. Since October 9, 2023, these offices have also been accepting notes from individuals and entities directly for deposit. This extension has ensured that those who were unable to visit banks during the initial period still had an opportunity to return their notes.
Alternate Methods for Returning Notes
In addition to the facilities provided by banks and RBI offices, members of the public have utilized India Post services to return Rs 2000 banknotes. This service allows individuals to send their notes from any post office within the country to one of the RBI’s issue offices for credit to their bank accounts. This option has proven to be a practical solution for those who might have faced difficulties in accessing other return facilities.
Locations for Note Deposits
The RBI’s 19 issue offices handling the Rs 2000 banknotes are strategically located across major cities to provide widespread access. These offices are situated in Ahmedabad, Bengaluru, Belapur, Bhopal, Bhubaneswar, Chandigarh, Chennai, Guwahati, Hyderabad, Jaipur, Jammu, Kanpur, Kolkata, Lucknow, Mumbai, Nagpur, New Delhi, Patna, and Thiruvananthapuram. Their widespread presence has facilitated efficient processing of the returned notes.
Background on Rs 2000 Notes
The Rs 2000 banknotes were introduced in November 2016 as part of the demonetisation drive, which saw the withdrawal of the then-prevailing Rs 1000 and Rs 500 banknotes. The introduction of the Rs 2000 notes was intended to mitigate the immediate impact of the demonetisation policy and to provide a higher denomination currency for transaction convenience. The withdrawal of these notes represents a significant step in the ongoing efforts to manage the currency supply and ensure the integrity of the monetary system.
(With inputs from agencies)
