Withdrawal of ₹2,000 bank notes part of currency management: RBI Governor
- Withdrawal of ₹2,000 bank notes part of currency management, says RBI governor.
The withdrawal of ₹2,000 banknotes is a significant step in currency management, as stated by the Reserve Bank of India (RBI) Governor Shaktikanta Das.
RBI Governor is attending Central Banks internal event on ‘Leadership and Governance in Banks: Driving Sustainable Growth and Stability’.
Speaking to the media persons, Das said, “Let me clarify and re-emphasise that it is a part of the currency management operations of the RBI. For a long time, the Reserve Bank has been following a clean note policy.”
Das further noted that from time to time, RBI withdraws notes of a particular series and issues fresh notes. “We are withdrawing the ₹2000 notes from circulation but they continue as legal tender,” he added.
Das stressed that, “We have clearly explained in our press note that the ₹2000 notes were primarily issued for the purpose of quickly replenishing the value of money which was being taken out from the system when the legal tender status of then-prevailing ₹1000 and ₹500 notes was withdrawn.”
The RBI governor stated that time was given up to September 30 for the exchange of notes in order to ensure that it was taken seriously. He further added that if it was left open-ended, it would become kind of an endless process.
(This is breaking news.)
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Business NewsNewsWithdrawal of ₹2,000 bank notes part of currency management: RBI Governor
First Published:22 May 2023, 03:08 PM IST
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