RBI stops printing Rs 2,000 denomination notes, reveals RTI

RBI stops printing Rs 2,000 denomination notes, reveals RTI

Agency News

Mumbai, 18 Oct 2019: The Reserve Bank of India (RBI) has revealed in a reply to a Right to Information (RTI) query that the printing of Rs 2,000 currency notes has been stopped.

Earlier there were reports that printing of Rs 2,000 notes have been stopped but the government had denied the same. But according to the new explanation given to an RTI, RBI said that not a single Rs 2,000 note has been printed this financial year. The move to discontinue the Rs 2,000 note comes even as the National Investigation Agency (NIA) found fake currency notes in circulation. The National Investigation Agency (NIA) also claimed that 'high quality' fake currency notes have resurfaced, with Pakistan being the main source.

The key reason behind the RBI decision is said to be the high circulation of Rs 2,000 notes defeat the government's objectives of curbing black money as it is easier to smuggle the high-denomination notes.

The RBI printed 3,542.991 million notes in the financial year 2016-17, which came down to 111.507 million notes in 2017-18 and was further reduced to 46.690 million notes in the year 2018-19, as revealed in a reply by the RBI to an RTI filed by The New Indian Express.

As per data released by RBI, there were 3,363 million notes in circulation at the end of March 2018, which amounted to 3.3 per cent of the total currency in circulation in terms of volume and 37.3 per cent in terms of value.