In a media interaction on Monday, State Bank of India (SBI) chairman Dinesh Kumar Khara disclosed that India's largest public sector bank has processed approximately Rs 17,000 crore worth of Rs 2,000 currency notes through deposits or exchanges. The revelation came shortly after the Reserve Bank of India (RBI) announced the withdrawal of Rs 2,000 banknotes from circulation. Khara shared this information during an official function he attended.
Speaking with reporters at GIFT City on Monday, Khara provided further details, stating, "Rs 3,000 crore has been exchanged, and Rs 14,000 crore has been deposited into accounts. Roughly speaking, we hold about 20% of the market."
While the RBI has ceased printing Rs 2,000 banknotes and instructed banks to stop issuing them, these banknotes will continue to be legally accepted. According to the RBI's announcement, individuals can deposit Rs 2,000 banknotes into their accounts or exchange them for notes of other denominations at any bank branch until September 30, 2023. However, there is a limit of Rs 20,000 per transaction for exchanging Rs 2,000 banknotes into other denominations at bank branches nationwide. Banks will not charge any fees for the exchange.
Additionally, the RBI clarified that customers can deposit Rs 2,000 banknotes into their accounts through the usual process without any restrictions or adherence to existing instructions and statutory provisions. The introduction of the Rs 2,000 denomination banknote followed the sudden demonetization in November 2016, serving as a means to address the immediate monetary needs of the economy after the withdrawal of all Rs 500 and Rs 1,000 banknotes as legal tender at the time.
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