Rs 2000 Notes Circulation To Be Reduced

January 04, 2019 09:50
Rs 2000 Notes Circulation To Be Reduced

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Rs 2000 Notes Circulation To Be Reduced:- The Reserve Bank of India (RBI) decided to stop printing Rs 2000 notes to reduce their circulation in the country however they will remain valid. The cut in the circulation doesn't mean that they will get vanished informed a source from the government. The denomination will gradually phased out. Modi's government has been criticized as the high-denomination note is being used for money laundering and tax evasion. Rs 2000 notes were introduced in 2016 November after Rs 1000 and Rs 500 notes were banned by the Indian Government.

The total currency circulation in the country is Rs 18.03 lakh crores out of which Rs 6.73 lakh crores are Rs 2000 notes which contributes 37% of the currency. Rs 7.73 lakh crores are Rs 500 notes and they contribute 43% of the currency. There have been arguments that Rs 2000 notes would further help money launderers and tax evaders. These turned true last year after there has been a massive cash shortage in the country. After a series of meetings, it has been decided to reduce the circulation of Rs 2000 notes.

(Video Source: NTV Telugu)

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