Out of a total of Rs 2,000 banknotes in circulation, 97.26 per cent have been returned to the Reserve Bank of India at the close of business on November 30, 2023, declining to Rs 9,760 crore, the Central bank said on Friday.
Notably, from October 9, RBI Issue Offices, in addition to exchanging Rs 2,000 denomination banknotes across the counters, are also accepting Rs 2,000 banknotes from individuals/entities for deposit to their bank accounts.
The RBI had announced the withdrawal of Rs 2,000 denomination banknotes from circulation on May 19, 2023 as part of its clean note policy.
The total value of Rs 2,000 banknotes in circulation amounted to Rs 3.56 lakh crore as at the close of business on May 19.
The facility for deposit and exchange was available at all bank branches in the country initially upto September, which was later extended upto October 7.
The RBI had introduced Rs 2,000 banknotes in November 2016 with the announcement of withdrawal of Rs 1,000 and Rs 500 banknotes by the Narendra Modi Government.
Demonetisation was subsequently described as a policy boost to promoting digital payments. The original policy had very different stated targets. The biggest promise of demonetisation was that it would purge unaccounted cash in the system, with those hoarding forced to deposit it in the banks.
While announcing the decision, PM Modi said, “Which honest citizen would not be pained by reports of crores worth of currency notes stashed under the beds of government officers? Or by reports of cash found in gunny bags.”