PC: Dailyo

The Reserve Bank of India (RBI) made it clear on Friday that Rs 2,000 banknotes will no longer be of any use and if someone does not exchange it in any bank then it will remain just a piece of paper. RBI had earlier fixed the last date as September 30, 2023, with a view to complete the process in a time-bound manner and provide adequate time to the public.

Early last month, the RBI had said that about 93 percent of the Rs 2,000 denomination notes have returned to the banking system since the central bank decided in May to withdraw the higher-value notes from circulation. People were instructed to exchange or deposit their Rs 2,000 notes at bank branches and regional branches of the RBI.

PC: India TV Hindi

A non-account holder can also exchange bank notes of Rs 2000 up to a limit of Rs 20,000 at a time in any bank branch. On May 19, the RBI decided to withdraw Rs 2000 denomination bank notes from circulation but said it would remain as legal tender. However, RBI had advised banks to stop issuing such bank notes with immediate effect.

The Rs 2000 denomination banknote was introduced in November 2016, primarily to quickly meet the currency requirement of the economy after the withdrawal of the legal tender status of all Rs 500 and Rs 1000 banknotes in circulation at that time.

PC: Oneindia Tamil

The objective of introducing Rs 2000 bank notes was achieved once banknotes of other denominations became available in sufficient quantity. Therefore, the printing of Rs 2000 bank notes was stopped in 2018-19.