The Reserve Bank of India (RBI) notified the withdrawal of the 2,000 rupee notes from circulation on May 19, 2023. However, the notes will remain valid and the public can get them exchanged or deposit them at the banks, the Central Bank said.
The move by the RBI aims to absorb the remaining 2,000 rupee notes, which is around 10 per cent of the currency circulation. The notes were around 50 per cent of the notes in the market after they were introduced back in 2016.
Banks have not seen a rush as they saw back in 2016 as the expected volume of notes this time is comparatively lesser and they say they are now ready with procedures in place to exchange and deposit the notes. People, however, have other plans in mind to save a trip to the bank.
Following the notification, there has been increased circulation of the 2,000 rupee notes as people in panic want to get rid of the notes as soon as possible.
Today, an unusually large number of patients paid their fees using Rs. 2000 notes.— Dr. Praveen Tripathi (@drpraveenpsy) May 20, 2023
I could never have imagined that my patients would use me as a dumping ground one day. 😂 😂
Some Jewellers started Charging a Premium on Gold for Accepting the ₹2000 Currency Note— Ravisutanjani (@Ravisutanjani) May 21, 2023
Gold Official Rate (With GST) - ₹63,800
Unofficial Rate if Paid with ₹2000 - ₹67,000