The cut in circulation does not mean the Rs 2,000 notes will become invalid.
Recently, certain reports in media were doing rounds that the printing of Rs 2000 notes has been stopped. Citing sources, a report in ThePrint claimed that to lower the circulation printing of Rs 2000 banknotes has been stopped. However, it cleared that the banknotes are still vaild and will continue to remain so.
The cut in circulation does not mean the Rs 2,000 notes will become invalid. In all likelihood, the denomination will be gradually phased out.The decision comes on the back of suspicion in the Modi government that the high-denomination banknote was being used for hoarding, tax evasion and money laundering, the reports claimed.
Now, Subhash Chandra Garg, Secretary, Department of Economic Affairs, Ministry of Finance clarified that no such decision has been taken regarding the printing of Rs 2000 notes recently.
He further explained that India has more than adequate notes of Rs 2000 in the system with over 35% of notes by value in circulation being of Rs 2000.
"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", he said.
When the Rs 2000 note was launched, it was decided that the printing would be “scaled down” going forward, since the new high currency value note was meant for meeting the remonetisation need.
KNOW THE DEMO CURRENCY
3,285 mn – Pieces of Rs 2,000 notes in circulation at end-March 2017
3,363 mn – Number of Rs 2,000 notes in circulation as on March 31, 2018
Rs 18,037 bn – Total currency in circulation at end-March 2018
37.3% – How much Rs 2000 notes accounted for at end-March 2018
50.2% – How much Rs 2000 notes accounted for at end-March 2017
86% – How much old 500/1000 notes accounted for when scrapped in Nov 2016
(Source : RBI data)
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 "Printing of Rs 2,000 note stops? Here's the truth")
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