The Reserve Bank of India on Friday decided to withdraw the Rs 2000 denomination banknotes from circulation but said they would continue to remain as legal tender
The Governor said this Rs 2000 note was primarily issued to replenish money, taken out from the system during the demonetisation of Rs 500 notes and Rs 1,000 notes.
A Public Interest Litigation (PIL) has been moved in Delhi High Court challenging Reserve Bank of India (RBI) and State Bank of India (SBI) notifications, which permits the exchange of Rs. 2000 banknotes without obtaining any requisition slip and identity proof.
Commenting on the withdrawal AAP lawmaker Sanjeev Arora said, "Withdrawal of these banknotes is a disruption of the economy. Withdrawal of currency notes at regular intervals doesn't give a positive outlook of the economy in the eyes of investors and other countries."
"Please arrange accordingly and extend all cooperation to members of the public so that the exercise is conducted in a smooth and seamless manner without any inconvenience to the public," SBI said in its communication.
In his letter to FM Sitharama on Saturday, he anticipated that "notorious and corrupt" DMK leaders will use the "machinery at their disposal" to exchange their ill-earned 2000 rupee notes.
Slamming the Centre over the Reserve Bank of India's decision to withdraw Rs 2,000 notes from circulation, Chhattisgarh Chief Minister Bhupesh Baghel on Saturday accused the Bharatiya Janata Party (BJP) government of misusing around Rs 1,600-1,700 crore on printing of notes.
"Last time (in 2016), new notes were introduced, which were not even fitting into the ATMs. Now again people have to put money in banks. A country can't afford such decisions as it affects people," the MNS chief added.
"If someone has accumulated black money, then they will definitely have problems while changing the note, they will have to tell from where these notes came from," Fadnavis said.
According to him, his first reason was that: "The Rs 2000 notes are not being used much as a medium of exchange. In fact, they currently constitute only 10.8 per cent of Currency In Circulation (CiC)."
According to the former CEO, the 2000 notes are not in use in the everyday life of the common people and its cash in circulation is only 10 per cent. "Secondly, most of the common people do digital transactions," Subramanian said.