In a significant revelation, the Reserve Bank of India (RBI) announced on August 1 that 88% of the ₹2000 banknotes, valued at ₹3.14 lakh crore, have been returned to the banking system following the withdrawal of high value currency notes from circulation in May. This article delves into the key data and insights provided by the RBI regarding the circulation of ₹2000 banknotes and the measures being taken to ensure a smooth transition.
The RBI’s data from banks indicates that the total value of ₹2000 banknotes returned from circulation has reached ₹3.14 lakh crore as of July 31, 2023. Consequently, ₹2,000 banknotes currently in circulation stand at ₹0.42 lakh crore, as stated by the Central bank.
The figures reveal that as of May 19, 2023, a staggering 88% of the ₹2000 banknotes that were in circulation have been returned to the banking system. This marks a significant shift from the situation on March 31, 2023, when the total value of ₹2,000 banknotes in circulation amounted to ₹3.62 lakh crore. By May 19, 2023, this value had declined to ₹3.56 lakh crore.
Out of the total ₹2000 banknotes received back from circulation, approximately 87% came in the form of deposits. The remaining 13% of these banknotes have been exchanged into other denomination banknotes. This data reflects the various ways in which the public has responded to the withdrawal announcement.
Recognizing the need for a smooth transition, the Reserve Bank has urged the public to utilize the next two months to deposit and/or exchange the ₹2,000 banknotes they hold. This proactive measure aims to avoid any last minute rush and inconvenience before the deadline on September 30, 2023.
The RBI’s latest data on the return of ₹2000 banknotes to the banking system sheds light on the impact of the withdrawal decision made earlier. With a significant majority of these high value notes already back in circulation, the transition appears to be progressing smoothly. However, the RBI’s appeal to the public remains crucial to ensure a hassle-free exchange process leading up to the deadline.