RBI withdraws Rs 2,000 banknotes from circulation, legal tender till September 30

The Reserve Bank of India (RBI) has announced the withdrawal of Rs 2,000 denomination banknotes from circulation. However, the central bank has assured the public that these banknotes will continue to be legal tender until September 30. This decision is in line with RBI's "Clean Note Policy" aimed at maintaining the integrity of currency in circulation.

Effective immediately, banks have been instructed to cease issuing Rs 2,000 notes. The RBI's decision stems from its objective to promote the circulation of clean and fresh banknotes. The central bank has urged banks to facilitate the deposit and/or exchange of Rs 2,000 notes until September 30, 2023.

Members of the public can visit any bank branch to deposit their Rs 2,000 banknotes into their accounts or exchange them for banknotes of other denominations. The deposit process will adhere to the usual banking procedures without any restrictions, in compliance with existing instructions and applicable statutory provisions, as stated by the RBI.

This is not the first time the RBI has implemented the withdrawal of specific banknotes from circulation. Similar measures were taken by the central bank in 2013-2014.