There has been experienced an increased shortfall of Rs 2000 currency notes in the market as the elections draw closer.
The New Leam Staff
Bankers throughout the nation have noticed a sudden deficit in the number of Rs 2000 currency notes currently in circulation in the Indian market. They feel that perhaps the sudden shortage of these currency notes is because political parties may be hoarding them for usage in the upcoming elections.
It is to be noted that it has already been two years since the Modi government first introduced the new notes after economic demonetisation. The Reserve Bank of India had halted the production of Rs 2000 notes in January, 2019 but the fast disappearance of these notes from the current market has been attributed by experts to the upcoming Lok Sabha elections.
The circulation of currency notes has thinned and the ones that are already in the system are not getting exchanged. The experts have suggested that while this is common during the elections what cannot be ruled out is the idea that even citizens may be responsible for hoarding of cash.
We must keep into consideration that the upcoming General Elections are only a couple of days far and the vanishing of these notes from the market cannot just be a coincidence. It is believed that many ATMs throughout the nation are running dry and only Rs 500 and Rs 100 notes are in high circulation.
Meanwhile, it has been reported that a large number of Rs 2000 notes have been found in seizures by the enforcement of police and officials. The circulation of the Rs 2000 notes was decreased when compared to the last year, according to the date produced by the RBI.
In March 2017, there were 3,285 million notes of Rs 2000 in circulation but in March 2018, there was only a slight increase to 3,363 million notes that were reported to be in circulation within the market.
