The withdrawal of Rs 2000 notes is creating panic. Some are rushing to buy luxury watches and gold; others are donating to temples and spending on mangoes and food delivery
The gold market in India is seeing a spurt in sales and it can thank the RBI for it. The central bank’s decision to withdraw the Rs 2000 note from circulation by 30 September has prompted people to buy more gold – with most stores reporting a 20 per cent rise in purchases
The RBI on Friday announced the withdrawal of Rs 2,000 banknotes from circulation and set a deadline of September 30 for the public to exchange or deposit the banknotes.
RBI said it has asked banks to stop issuing Rs 2,000 notes with immediate effect, but the existing Rs 2,000 denomination banknotes will continue to be legal tender
As on March 31, 2018, Rs 2,000 notes worth Rs 6,73,000 crore were available in the market, accounting for 37.3 percent of the total currency circulation.