The Reserve Bank of India (RBI) recently announced the withdrawal of ₹2,000 notes from circulation, effective May 19, 2023. While the notes will no longer be issued, they will continue to be legal tender. The RBI’s 19 regional offices and other banks will start accepting ₹2,000 notes for exchange with lower denomination currency from May 23.
The news of the withdrawal prompted food delivery company Zomato to share an interesting statistic. Zomato revealed that 72% of their cash-on-delivery orders were paid using ₹2,000 notes after the RBI’s announcement. To convey this information, Zomato creatively used a Breaking Bad meme, featuring a character named Huell Babineaux lying atop a mountain of cash. The image was modified to show Huell wearing a Zomato t-shirt and the currency was replaced with the company’s logo. The post gained popularity, accumulating thousands of likes and retweets, with users suggesting humorous ideas like Zomato creating a TV series called “Breaking Bread.”
While some found humor in the situation, others expressed concerns about the prevalence of ₹2,000 notes and suggested possible solutions. One user suggested Zomato collaborate with the State Bank of India (SBI), offering lunch delivery in exchange for currency exchange services. Another user shared an anecdote about a customer paying for inexpensive items with a ₹2,000 note, highlighting the challenge faced by vendors who struggle to provide change for such high-value notes.
The RBI’s decision to withdraw the ₹2,000 notes comes after they were first introduced in November 2016, following the demonetization of ₹1,000 and ₹500 notes by Prime Minister Narendra Modi. The RBI stated that the objective of introducing the ₹2,000 notes had been achieved once an adequate quantity of banknotes in other denominations became available. Consequently, the printing of ₹2,000 notes was stopped in 2018-19.
In response to the RBI’s directive, all banks have been instructed to discontinue issuing ₹2,000 notes immediately. This move aims to phase out the higher denomination notes and encourage the circulation of lower denomination currency.
The withdrawal of ₹2,000 notes from circulation signals a shift toward promoting smaller denomination currency and aims to address concerns related to the hoarding and limited utility of high-value notes.
