The Government of India (GoI,) on Friday, said, the printing of Rs. 2,000 notes will be reduced to a minimum as there are enough notes circulating in the market.
Subhash Chandra Garg, the Economic Affairs Secretary of India, spoke about the printing plan of Rs. 2,000 notes post demonetisation and said, Rs. 2,000 notes account for more than 35 % of the notes in circulation. He further said, the notes of Rs. 2,000 will still remain valid in the market.
Printing of notes is planned as per the projected requirement. We have more than adequate notes of Rs 2000 in the system with over 35% of notes by value in circulation being of Rs 2000. There has been no decision regarding 2000 rupee note production recently.
— Subhash Chandra Garg (@SecretaryDEA) January 4, 2019
A Finance Ministry official, yesterday, reported the decision of the Reserve Bank of India (RBI) to bring down the printing of the notes.
The official said, “The printing of 2,000 rupee notes has been substantially reduced. It has been decided to limit the printing of 2,000 currency notes to minimum. This is nothing new.”
The new notes of Rs. 500 and Rs. 2,000 were introduced in November 2016 after demonetisation, in order to reduce money laundering, black money and corruption.
According to RBI data, there were 3,285 million Rs. 2,000 notes in circulation in March 2017 and as of March 2018, 3,363 million notes were in circulation. At the end of March 2018, Rs. 2,000 notes accounted for 37.3 % of the total currency in circulation at the time, which was 18,037 billion rupees.
