No, RBI won't withdraw Rs 2,000 notes.

No, RBI won't withdraw Rs 2,000 notes! Don't believe forwarded messages on WhatsApp

A viral WhatsApp forward has people worried about a second wave of the unannounced demonetization in India. The message is forwarded by people on WhatsApp reads, “After 31st December 2019 you cannot change your Rs 2,000 notes.”

The message claims that the Reserve Bank of India (RBI) is withdrawing its highest cash denomination for the reissuing of Rs 1000 notes. The message also claims that Rs 1000 notes will be circulated in Indian markets from January 1, 2020, reported The Indian Express.

#PIBFactCheck

Claim: Whatsapp msgs/YouTube channels claim that RBI is releasing new  1000 notes and discontinuing the 2000 notes.

Reality: There is no such announcement by @RBI.

Conclusion: #FakeNews pic.twitter.com/6JBRftMf7z

— PIB India (@PIB_India) December 5, 2019

The rumor had started back in October after an RTI report said that the RBI had stopped the printing of Rs 2000 notes. The rumor spread quickly on WhatsApp which led the Press Information Bureau to announce in December that the information was just a rumor and had no weight to it.

RBI confirmed the rumor as fake in a statement, it said, “These are all rumors. There has been no such notification (by the RBI). Please refer to the website for all communication.”

On December 11, the Minister of State for Finance Anurag Thakur also spoke on the issue in Rajya Sabha. He said that the government had no such plans.

The Samajwadi Party leader Vishambhar Prasad Nishad had asked Thakur if the government was planning to re-introduce Rs 1000 denomination note to replace Rs 2000 notes. Thakur answered saying, “This is the real worry (about demonetization) which has surfaced now. I think that you should not worry about it.”

On December 11, Minister of State for Finance Anurag Thakur also informed Rajya Sabha that the government has no such plans. Samajwadi party Vishambhar Prasad Nishad asked whether the government is planning to re-introduce Rs 1000 denomination note to replace the Rs 2000 denomination note. “Black money has increased by the introduction of Rs 2000 denomination note. There is a misconception among people that you are going to introduce Rs 1000 denomination note again to replace Rs 2000 denomination note,” he asked.

In reply, Thakur said, “This is the real worry (about demonetization) which has surfaced now. I think that you should not worry about it.”

Thakur also told the House that objectives of demonetization was flushing out black money, eliminating fake currency notes, strikeout terror financing and Left-wing extremism, non-formal economy to a formal economy to expand the tax base and boost digitization.

The government had in November 2016 demonetized Rs 1,000 and Rs 500 denominations notes.

Thakur, however, admitted that the currency in circulation has indeed increased in the three years since demonetization. As on November 4, 2016 was Rs 17,741.87 billion which has now increased to Rs 22,356.48 billion as of December 2, 2019.

The message first began doing rounds when an RTI application revealed in October that the RBI has stopped printing Rs 2,000 notes. This gave rise to wide-spread rumors that the government is planning to demonetize the currency.