The RBI Extends The Date For Exchanging And Depositing Rs. 2000 bank Notes

The time-frame for depositing and exchanging bank notes of Rs. 2000 has been extended to October 7, 2023 from the earlier September 30, 2023. The Reserve Bank of India had announced the withdrawal of Rs 2000 bank notes from circulation through its circular which was released on May, 19, 2023. The last date for this was announced as September 30, 2023 with all banks readied for the deposit and exchange of the bank notes in this matter.

With effect from October 8, 2023, the RBI said that “the deposit / exchange at bank branches shall be stopped.” In the same circular, RBI also said that Rs.2000 banknotes shall continue to be legal tender.

Though this is the case, Rs. 2000 can be exchanged at 19 RBI Issue Offices, up to a limit of Rs.20,000/- at a time by individuals or entities until RBI issues further notice.

Individuals or entities, the RBI said, could make use of India Post, addressed to any of the 19 RBI Issue Offices to credit their bank notes to the bank accounts within India. This said, these exchanges would be subject to government regulations and valid identity documents.

The exchange facility of the notes was made available at 19 RBI regional offices.  As per the bank data received, 96% of the Rs.2000 banknotes which were in circulation since May 19, 2023 has been received back. In May, the circulation of Rs. 2000 notes stood at Rs.3.56 lakh crore, in which, Rs.3.42 lakh crore has been received back, leaving only Rs.0.14 lakh crore in circulation as on September 29, 2023. The Rs. 2000 notes were introduced in 2016 November.

Closing the circular, the Central Bank urged the citizens to exchange / deposit the Rs. 2000 notes as soon as possible.