RBI reveals why govt rolling 2000rs notes

RBI  reveals why govt rolling 2000rs notes?

According to sources, at least one top public sector bank on Friday recalled all its ₹ 2,000 notes from several branches on an “emergency” basis.   After the bank employees issued instructions from the central office that ATM 2,000 notes have not been reloaded at the ATM or distributed to the people making withdrawals.  However, customers need not panic as banks are still accepting 2,000 notes from individuals who deposit.  And, they are still legal tender. Bank sources - whose identities we confirmed requested anonymity because they were not authorized to speak publicly - told Business Insider India that the cassette of the 2000 note was sent to third-party ATM service providers at the ATM.  The instructions to change were given with new ₹ 100 notes for several banks including private sector people. These instructions were done by bank branches.  But, our sources have confirmed that such instructions - to change how an ATM will distribute cash - cannot be issued at the branch level and have come from higher.  The RBI is yet to answer Business Insider’s questions.  There are a number of reasons why the government may clash with India’s highest denomination, ranging from a complete ban on alt 2,000 to dealing with the issue of counterfeit currency.  It’s not about fake currency  In 2016 when the 2,000 note was first introduced into the economy after heavy demonetization exercise, RBI assured citizens that the note would be as safe as it could be. However, the seizure incidence of counterfeit the 2000 notes has increased. According to data from the National Crime Records Bureau (NCRB), in 2017, 53.5% of the value of counterfeit currency seized by law enforcement agencies was made up of 2000 notes.   By 2018, it went on to include a 61.1% price stake in counterfeit currency.   As recently as Sunday, a passenger traveling from Dubai was arrested at the International Airport in Mumbai on charges of fake currency of high quality, valued at around ₹ 24 lakh. About 99% of the denominations - 23.86 lakhs - 1,193 notes were made from 2000 denomination notes.However, sources tell Business Insider that it is unlikely that the RBI will withdraw the 2000 note on the issue of counterfeit notes.    Bank branches are equipped with counterfeit currency detection machines to detect fake notes. In October last year, the RBI said it ceased production.