On February 1, the Reserve Bank of India (RBI) reported that 97.50 percent of the Rs 2,000 currency notes in circulation as of May 19, 2023, have been returned to the banking system. The total value of these banknotes decreased to Rs 8,897 crore by January 31, 2024, from Rs 3.56 lakh crore on May 19, 2023, when the government announced the withdrawal of Rs 2,000 bills, as per an RBI statement.
This move to withdraw high-value denomination banknotes was part of the central bank’s clean note policy. The option for depositing or exchanging Rs 2,000 banknotes was available at all bank branches until October 7, 2023, and since May 19, 2023, at the 19 Issue Offices of the Reserve Bank. Additionally, from October 9, 2023, RBI Issue Offices started accepting Rs 2,000 banknotes from individuals and entities for deposit into their bank accounts.
People were also permitted to send Rs 2,000 banknotes through India Post to any RBI Issue Office from any post office in the country for credit to their bank accounts, as specified by the RBI.
Introduced in November 2016 to quickly address the currency requirement after the demonetization of Rs 500 and Rs 1,000 notes, the Rs 2,000 banknotes’ printing ceased in 2018-19 once other denominations became adequately available. However, the RBI clarified that Rs 2,000 banknotes remain legal tender.