New Delhi: India’s central bank expects most currency notes of 2,000 rupees denomination to be returned to banks by the end of September, Governor Shaktikanta Das said on Monday, adding that there is no reason for people to rush to lenders for exchange.
The Reserve Bank of India said on Friday that notes of 2,000 rupees denomination will be withdrawn from circulation and citizens have until September-end to exchange or deposit them.
“We do not expect a rush at banks to exchange the notes,” Das said at a press briefing in New Delhi. “People don’t have to go immediately as enough time has been given,” he said.
Notes of 2,000 rupees denomination make up 10.8% of the economy’s currency in circulation with a value of 3.6 trillion Indian rupees ($44.02 billion), the RBI said on Friday.
“The withdrawal of 2,000-rupee notes will have a minimal impact on the economy,” Das said. “There are more than enough notes of smaller denomination in circulation,” he said.
($1 = 81.7800 Indian rupees)
(Reporting by Nikunj Ohri in New Delhi and Swati Bhat in Mumbai; Editing by Sherry Jacob-Phillips)
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