RBI Withdraws Rs. 2000 Banknotes – 10 Key Insights You Need to Know


In pursuance of the “Clean Note Policy”, the RBI has decided to withdraw the Rs. 2000 denomination banknotes from circulation. The banknotes in Rs. 2000 denomination will continue to be legal tender. The exchange of Rs. 2000 notes into banknotes of other denominations can be made upto Rs. 20,000 at a time from May 23, 2023. Banks have been directed to provide deposit and/or exchange facilities for Rs. 2000 banknotes until Sep 30, 2023. Here are 10 key things to know about the withdrawal of the Rs. 2000 bank notes from circulation:

  1. Legal Tender: The Rs. 2000 banknotes continue to be legal tender till Sep 30, 2023
  2. Time limit: RBI has directed banks to provide deposit and or exchange facilities for Rs. 2000 notes until Sep 30, 2023
  3. Banks not to issue Rs. 2000 notes: RBI has advised banks to stop issuing Rs. 2000 notes with immediate effect
  4. Use of Rs. 2000 note for transactions: The public can continue to use Rs. 2000 notes until Sep 30, 2023
  5. Where to deposit?: Facility for deposit of Rs. 2000 notes will be available at all banks and Regional offices of RBI until Sep 30, 2023.
  6. Operational limit: The public can exchange up to a limit of Rs. 20,000/- at a time.
  7. Effective date for exchange facility: The exchange facility will begin on May 23, 2023
  8. Exchange facility can be availed by non-customers (non-account holders): Non-account holders can also avail of the facility for the exchange of rs. 2000 banknotes from any branch
  9. Exchange facility is free: The exchange facility will be provided free of cost
  10. Business correspondents(BC) can also provide an exchange facility: Exchange of Rs. 2000 banknotes can be through BCs up to a limit of Rs. 4000/- per day for account holders.
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