RBI has said individuals will have the option to exchange Rs 2,000 banknotes for other denominations up to a limit of Rs 20,000 at a time at any bank, beginning May 23, 2023. 
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RBI has said individuals will have the option to exchange Rs 2,000 banknotes for other denominations up to a limit of Rs 20,000 at a time at any bank, beginning May 23, 2023. Rs 2,000 notes: A day after the Reserve Bank of India (RBI) said that it plans to withdraw Rs 2,000 notes from circulation as part of the clean note policy, the government further clarified that there will be no daily limit on the number of times to exchange notes.
On May 19, the central bank after announcing the withdrawal, said that people can deposit or exchange the notes at bank branches or designated RBI offices till September 30. The RBI has clarified that even after its withdrawal, the Rs 2,000 note will remain a legal tender.
Individuals will have the option to exchange Rs 2,000 banknotes for other denominations up to a limit of Rs 20,000 at a time at any bank, beginning May 23, 2023.
Business Today spoke to government sources, who said that people can exchange Rs 2000 notes for smaller denominations more than once a day at any bank branch or designated RBI office before September 30.
However, the repeat exchange will depend on the number of bank executives and rush at a particular branch, the sources added.
The notes can be exchanged at any bank branch. People who don’t have a bank account can also go to any bank to exchange Rs 2000 notes for smaller denominations
For the transactions, the government hasn’t set any limit on deposits. The customer has to follow only the KYC norms.
RBI’s withdrawal and exchange policy
RBI's clean note policy was introduced 24 years ago, in 1999, by the then RBI Governor, Dr Bimal Jalan.
The objective of the Reserve Bank's clean note policy is to provide good quality currency notes and coins to the citizens.
The policy aims to maintain the integrity of the Indian currency by removing damaged, counterfeit, or soiled notes from circulation. The RBI regularly monitors the quality of currency notes in circulation and sets standards for their acceptability.
People can deposit Rs 2,000 banknotes in their bank accounts, or exchange them for banknotes of other denominations at any bank branch.
Deposits can be made without restrictions and are subject to existing instructions and applicable statutory provisions.
RBI has said individuals will have the option to exchange Rs 2,000 banknotes for other denominations up to a limit of Rs 20,000 at a time at any bank, beginning May 23, 2023.
Besides, starting from May 23, 2023, individuals can also avail of the exchange facility at 19 regional offices of the RBI.
The exchange of Rs 2000 banknotes can be made through Business Correspondents but up to a limit of Rs 4000 per day for an account holder.
The exchange facility shall be provided free of cost.
Banks have been asked to make arrangements to reduce inconvenience to senior citizens, persons with disabilities, etc., who are keen to exchange or deposit Rs 2000 banknotes.
Also read: Rs 2,000 notes recalled: What will happen to your notes? RBI issues FAQs
Also read: RBI withdraws Rs 2,000 bank notes from circulation, but will continue to be legal tender
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