RBI Governor: INR 1.80 lakh crore in?INR 2,000 notes returned to banks since withdrawal order

Reserve Bank Governor Shaktikanta Das on Thursday said about 50 per cent of INR 2,000 notes in circulation has come back in the banking system.

The RBI recently announced withdrawal of the highest denomination currency last month, as part of its currency management and permitted the exchange of such notes (up to INR 20,000 in one go) from May 23 onwards.

As on March 31, 2023, INR 2,000 notes worth INR 3.62 lakh crore were in circulation.

‘So far, INR 1.80 lakh crore have come back after the announcement,’ Mr Das said during an interaction with media after releasing the bi-monthly monetary policy.

About 85 per cent of INR 2,000 notes are coming as deposits in bank accounts and this is in line with expectations, according to the RBI.

The exchange or deposit window is available till September 30, 2023.

The governor also urged the public not to panic or hurry to exchange their notes but to also not put it off to avoid a last minute rush.

Mr Das also made it clear that the RBI is not thinking of withdrawing any other denominations as speculation about INR 500 notes as well as the re-introduction of INR 1000 notes arose.

The RBI governor had said the majority of the withdrawn INR 2,000 currency notes are expected to be returned to the banking system by the September 30 deadline.