Exchange and deposit facility of ₹2000 banknotes at RBI offices temporarily unavailable on April 1.
The Reserve Bank of India (RBI) has announced that the facility for exchanging and depositing ₹2000 banknotes will not be available on April 1 at 19 of its issuing offices. The central bank cited operations associated with the annual closing of accounts as the reason for this temporary suspension.
In an official release, the RBI said that the facility will resume on April 2.
The exchange of ₹2000 banknotes has been available at the 19 RBI issue offices since May 19, 2023. Additionally, from October 9, 2023, these offices began accepting ₹2000 banknotes from individuals and entities for deposit into their bank accounts.
According to the RBI’s statistics, as of March 1, 2024, 97.62 per cent of the ₹2,000 currency notes in circulation as of May 19, 2023, have been returned to the banking system. The total value of ₹2000 banknotes in circulation declined from ₹3.56 lakh crore at the close of business on May 19, 2023, to ₹8,470 crore as of the close of business on February 29, 2024.
The RBI announced the withdrawal of ₹2,000 banknotes on May 19, 2023, as part of its clean note policy. These high-denomination notes were introduced in November 2016, following the withdrawal of the legal tender status of all ₹500 and ₹1,000 banknotes in circulation at the time.
While the temporary suspension of the exchange and deposit facility may cause some inconvenience, the RBI’s move is a routine annual procedure related to its account closing operations. The central bank assured that the facility will resume on April 2, allowing the public to continue exchanging and depositing the ₹2000 banknotes.