Currency in circulation during Diwali dips 2nd time straight in 20 yrs
Dip attributed to changing payment system, including the emergence of UPI, wallets & QR code, which has made it simple and cheaper to transfer money digitally
Dip attributed to changing payment system, including the emergence of UPI, wallets & QR code, which has made it simple and cheaper to transfer money digitally
The value of ₹2000 banknotes in circulation is ₹0.84 lakh cr, and percentage of ₹2,000 in total banknotes in circulation is 2.51%, says the minister
RBI Governor says of total value of ₹3.62 lakh cr, ₹2,000 banknotes worth ₹2.62 lakh crore have already been exchanged or deposited in banks
₹500 and ₹2000 notes together accounted for 87.9% of the total value of banknotes in circulation as on March 31, 2023.
Impact on deposits will be limited; almost the entire amount of ₹3.6 lakh will come back to the banking system, says a report
Experts say the withdrawal of ₹2,000 notes is likely to slow currency leakage temporarily
RBI asks banks to work in usual manner, provide appropriate infra like shaded waiting space, drinking water facilities to customers
The banknotes in ₹2,000 denomination will continue to be legal tender, says RBI
The increase in currency was seen despite the Modi govt’s demonetisation drive in 2016, which was implemented to reduce the amount of relative cash in circulation in the country.
Currency with the public has risen by around ₹1.4 lakh crore since demonetisation