A total of 87 per cent of these returned notes were in the form of deposits while the remaining 13 per cent has been exchanged into other denominations.
Representation image [Photo : iStock]
A big chunk of Rs 2,000 banknotes came back from businesses instead of retail customers, according to a report by MoneyControl.
The Indian Overseas Bank (IOB) received Rs 2,000 notes worth Rs 3,589 crore through deposits and exchanges while another public sector lender, UCO Bank, received Rs 2,000 notes worth Rs 3,471 crore in deposits and exchange.
MD and CEO, IOB, Ajay Srivastava said around 40 per cent of banknotes of this denomination came from businesses and mostly from small time traders.
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“We have received 42 per cent of Rs 2,000 notes from individuals and 58 per cent from businesses. In total, we received Rs 471 crore in terms of exchange and Rs 3,000 crore in terms of deposits,” said Ashwani Kumar, MD & CEO of the UCO Bank.
The City Union Bank received Rs 380 crore in the form of Rs 2,000 banknotes, out of which around 90 per cent are from businesses.
As per the latest report by the Reserve Bank of India (RBI) on the status of the banknotes, 88 per cent of the total notes in circulation amounting to Rs 3.14 lakh crore have returned to the banking system as on July 31.
A total of 87 per cent of these returned notes were in the form of deposits while the remaining 13 per cent has been exchanged into other denominations.
The RBI had announced withdrawal of Rs 2,000 banknotes as part of clean-note policy on May 19. For smooth completion of exchange or deposit, the RBI provided all banks time until September 30, 2023.
According to the RBI, on March 31, 2023, the total value of Rs 2,000 denomination banknotes in circulation was Rs 3.62 lakh crore, constituting 10.8 per cent of the total notes in circulation.
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