If reports are to be believed, RBI could soon introduce a Rs 200 currency note making it easier for people to get change of Rs. 2000 note.
Some media reports suggest, the board of the Reserve Bank of India (RBI) has cleared a proposal to introduce banknotes of Rs 200 denomination.
According to the reports, the decision was taken at the RBI board meeting in March.
However, at a recent event in Kumbakonam, Tamil Nadu, RBI Deputy Governor NS Vishwanathan said “Presently RBI has no idea to introduce currencies of new denominations. The central banking institution wants to encourage cashless transactions, which are helpful to the people.” He was speaking at a lecture on credit culture and financial system.
On November 8, 2016 Prime Minister Modi had announced the withdrawal of Rs 500 and Rs 1,000 currency notes, amounting to around 86% of currency in circulation of Rs 17.9 trillion.
Since then, RBI has replaced these with the new Rs2,000 and redesigned Rs500 bank notes.
As on 24 March, currency in circulation was Rs13.12 trillion, still around 27% off pre-demonetization levels.