In a major relief to the public, the Reserve Bank of India (RBI) has decided to extend the deadline for the exchange of Rs 2,000 notes till October 7.

“As the period specified for the withdrawal process has come to an end, and based on a review, it has been decided to extend the current arrangement for deposit/exchange of Rs 2,000 banknotes until October 7, 2023,” read a statement issued by RBI.

RBI also said that Rs 2000 banknotes will continue to be a legal tender.

According to the RBI release, Rs 2,000 notes can continue to be exchanged by individuals/entities at the 19 RBI Issue Offices up to a limit of Rs 20,000 at a time.

“The Individuals/Entities can tender Rs 2,000 banknotes at the 19 RBI Issue Offices for credit to their banks accounts in India for any amount,” it added.

“Individuals/Entities from within the country can also send Rs 2,000 banknotes through India Post, addressed to any of the 19 RBI Issue Offices for credit to their bank accounts in India…Such exchange or credit shall be subject to relevant RBI/Government regulations, submission of valid identity documents and due diligence as deemed fit by RBI,” it further stated. 

RBI further said that the courts, law enforcement agencies, government departments or any other public authority involved in investigation proceedings or enforcement, may, as and when required, deposit or exchange the notes without any limit.

The central bank also mentioned that 96 per cent of the Rs 2,000 notes in circulation as on May 19 this year has been returned.

As part of adopting a ‘Clean Note Policy’, RBI in May had announced that are withdrawing Rs 2,000 denomination notes from circulation.