The Reserve Bank of India stated on Friday that it will stop issuing Rs 2,000 notes, adding that those now in use may be deposited in bank accounts or exchanged by September 30.
The RBI said in a statement that the bank notes with a face value of Rs 2,000 will remain legal currency.
The RBI said that beginning on May 23, 2023, exchanges of Rs 2,000 bank notes into bank notes of other denominations may be done at any bank up to a ceiling of Rs 20,000 at a time in order to maintain operational convenience and prevent interruption of routine operations of bank branches.
The RBI has instructed banks to immediately cease printing banknotes having a value of Rs 2,000.
Aside from that, starting on May 23, the 19 Regional Offices (ROs) of the RBI with issuing divisions will provide the option to swap notes worth up to 20,000 rupees each.
After all of the Rs 500 and Rs 1,000 bank notes that were in use at the time lost their legal tender validity, the Rs 2,000 denomination bank note was issued in November 2016 mainly to quickly address the financial needs of the economy.