Major update on ₹2000 notes: Over 98.4% of currency returned to banks

New Delhi: The Reserve Bank of India (RBI) has issued an important update on the process of withdrawing ₹2000 notes. According to the latest RBI data, 98.41 percent of the total ₹2000 notes withdrawn from circulation have returned to the banking system. This process, which began on May 19, 2023, now leaves very few notes of this denomination in circulation.

According to an official statement issued by the Reserve Bank, when the withdrawal of these notes was announced on May 19, 2023, a total of ₹3.56 lakh crore worth of ₹2000 notes were in circulation. By the close of business on December 31, 2025, this value had declined to just ₹5,669 crore. This data shows that over the past two and a half years, Indian citizens and institutions have actively returned this high-value currency.

The RBI has clarified that although these notes are no longer accepted at bank branches for general transactions, they remain legal tender. Several changes were made to the deadline for returning these notes. The facility to deposit or exchange ₹2000 notes was available at all bank branches nationwide until October 7, 2023.

From October 9, 2023, individuals and institutions can directly deposit these notes into their bank accounts at any of the Reserve Bank of India’s 19 issue offices. To facilitate the process for the general public, notes can also be sent from any post office across the country through India Post. These notes are sent directly to the RBI issue offices, and the amount is credited to the individual’s bank account.

The decision to withdraw ₹2000 notes was part of the RBI’s “Clean Note Policy.” These notes were introduced to address the immediate shortage of currency in the market following demonetization in November 2016. Experts believe that the withdrawal of these notes has improved banking liquidity and curbed potential hoarding through high-value notes.

Although more than 98% of the notes have been returned, the process of returning the remaining ₹5,669 crore worth of notes is still ongoing. The RBI has appealed to the public who still have these notes to deposit them as soon as possible using designated RBI offices or postal facilities. At present, the RBI has not announced a deadline for closing this process, leaving citizens with an opportunity to secure their remaining balance.