New Delhi: A large population of India is now considering the digital transaction system as paramount. They do not like to carry cash in their pockets, which means thieves and pickpockets will not be able to steal anything. On the other hand, as the digitalization of payments spreads, discussions about halting the circulation of large-denomination notes in the country are also gaining momentum.
RBI has already stopped printing the 2,000-rupee note. On the other hand, it is now expected that the government can also remove the 500-rupee note from circulation. The RBI has not officially announced a ban on the note yet. After all, what is the government’s next plan regarding the 500-rupee note? Can the 500-rupee note be banned? You can know everything in detail below, about which you can know the opinion of the experts.
Will the 500-rupee note be banned?
According to banking expert Ashwini Rana, after obtaining the central government’s consent, the RBI can decide to discontinue the 500-rupee note after March 2026. According to experts, the RBI is taking significant steps to reduce the circulation of extensive notes. In recent years, 2,000-rupee notes have largely disappeared from the market.
Something similar is likely to happen with 500-rupee notes. However, the government will not announce their closure as a direct demonetization. According to experts, the RBI can already increase the circulation of 100- and 200-rupee notes for ATM withdrawals.
An opportunity will be given to deposit 500 notes.
According to Ashwini Rana, the government can first reduce the circulation of 500 rupees. It will be difficult to stop it completely. Additionally, people will be given sufficient time to deposit their money correctly. Due to this, gradually, the RBI will have a stock of Rs 500. At the same time, the notes will automatically cease to appear in the market.
For information, let us tell you that to stop the 500 rupee note, the government can increase the circulation of 100 and 200 rupee notes. The number of 10-rupee, 20-rupee, and 200-rupee ATMs will be gradually increased. Slowly, the number of notes will continue to grow. The notes will reach the banks comfortably.