Mumbai, September 30, 2023: In a significant move, the Reserve Bank of India (RBI) has extended the deadline for the exchange and deposit of ₹2,000 notes until October 7, 2023. The earlier cutoff date for returning these high-denomination notes was scheduled to expire today.
In an official press release issued on Saturday, September 30, the RBI announced the extension, stating, “As the period specified for the withdrawal process has come to an end, and based on a review, it has been decided to extend the current arrangement for deposit/exchange of ₹2,000 banknotes until October 07, 2023.”
However, commencing from October 8, 2023, banks will no longer accept deposits or exchanges of ₹2,000 notes at their branches. Despite this, ₹2,000 notes will remain legal tender even after the October 7 deadline. Customers wishing to exchange these notes will only be able to do so at RBI offices, as per the central bank’s directives.
The RBI further clarified the post-deadline procedures, noting that customers can continue to exchange ₹2,000 notes at any of the 19 RBI issue offices, with a limit of ₹20,000 at a time. Additionally, individuals and entities can tender ₹2,000 banknotes at these issue offices to credit their bank accounts in India, with no prescribed limit on the amount.
Customers residing within the country can also send ₹2,000 banknotes through India Post, addressed to any of the 19 RBI issue offices, for credit to their Indian bank accounts. However, the RBI emphasized that such exchanges or credits must adhere to relevant RBI/Government regulations and necessitate the submission of valid identity documents, along with due diligence as deemed appropriate by the RBI.
The RBI assured that the facility for depositing or exchanging ₹2,000 banknotes at the 19 RBI Issue Offices will remain available until further notice.
According to the RBI’s statement, approximately 96 percent of the ₹2,000 banknotes in circulation as of May 19, 2023, have already been returned. The central bank cited data received from banks, reporting that out of the total value of ₹3.56 lakh crore in ₹2,000 banknotes in circulation on May 19, 2023, ₹3.42 lakh crore had been returned by the close of business on September 29, 2023, leaving only ₹0.14 lakh crore in circulation.
The RBI initiated the withdrawal of ₹2,000 currency bills from circulation on May 19, 2023, with the aim of completing the process in a timely manner and providing ample time to the public. Banks were directed to offer deposit and exchange facilities for ₹2,000 banknotes until September 30, 2023, as per the RBI’s prior announcement. This exchange service was also available at the 19 regional offices (ROs) of RBI equipped with issue departments.