The 2000 rupee banknotes will no longer be in circulation, but they will still be accepted as legal money. This decision was made by the Reserve Bank of India. It has instructed banks to immediately stop issuing banknotes with a value of 2000. In November 2016, the 2000 denomination banknote was launched in accordance with Section 24(1) of the RBI Act, 1934, principally to swiftly address the economy's need for cash following the withdrawal of the legal tender status of the 500 and 1000 banknotes in use at the time. “₹2000 currency note will remain legal tender after 30th September too. RBI expects that 4 month time is enough for people to exchange notes with the banks. Most of the ₹2000 notes that are in circulation will return to banks within the given time frame of 30th September. This is a routine exercise of RBI and people need not panic," news agency ANI quoted citing sources. In light of the foregoing and in accordance with the Reserve Bank of India's "Clean Note Policy," it has been decided to stop issuing banknotes with the denomination of 2000.The 2000-denomination banknotes will remain legal currency. It should be recalled that the RBI conducted a similar removal of notes from circulation in 2013-2014. Starting on May 23, 2023, any bank will allow the exchange of 2000 rupee notes into notes of other denominations up to a limit of 20,000 rupees at a time in order to maintain operational convenience and prevent disrupting the routine operations of bank branches. “Accordingly, members of the public may deposit ₹2000 banknotes into their bank accounts and/or exchange them into banknotes of other denominations at any bank branch. Deposit into bank accounts can be made in the usual manner, that is, without restrictions and subject to extant instructions and other applicable statutory provisions," RBI issued a statement.

Key Points

• The 2000 rupee banknotes will no longer be in circulation, but they will still be accepted as legal money. This decision was made by the Reserve Bank of India.

• Starting on May 23, 2023, any bank will allow the exchange of 2000 rupee notes into notes of other denominations up to a limit of 20,000 rupees at a time in order to maintain operational convenience and prevent disrupting the routine operations of bank branches.