Shaktikanta Das, the Governor of the Reserve Bank of India (RBI), said on Monday (22 May) that people don't need to rush to banks to exchange Rs 2,000 notes as the deadline, which is 30 September, is still four months away.
He said the decision to withdraw the Rs 2,000 notes from circulation was part of the currency management operation of the RBI and is in line with the 'clean note' policy.
The deadline is aimed at streamlining the process of the return of these notes to the RBI, but the bank will be sensitive to all issues that may arise during the process.
Das confirms that most of the Rs 2,000 notes in circulation will come back to the RBI before the set deadline.
The Governor also mentioned that there is more than adequate stock of different denominations available in the system.
The exchange and/or deposit of Rs 2,000 notes at banks will commence on 23 May.
Das said that the introduction of Rs 2,000 notes was to resupply withdrawn notes after demonetisation, which it has accomplished.
Economic activity will be unaffected by the withdrawal as the Rs 2,000 notes have minimal use, according to Das.
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