RBI Governor Shaktikanta Das says, "Let me clarify and re-emphasise that it is a part of the currency management operations of the Reserve Bank...For a long time, the Reserve Bank has been following a clean note policy. From time to time, RBI withdraws notes of a particular series and issues fresh notes...We are withdrawing the Rs 2000 notes from circulation but they continue as legal tender."
That purpose has been fulfilled, today there are enough notes in circulation, of other denominations. Even the circulation of Rs 2000 notes as we have explained has come down from its peak of 6 lakh 73,000 crores to about 3 lakh 62,000 crores. The printing also has been stopped. The notes have completed their life cycle: RBI Governor
We have clearly explained in our press note that the Rs 2000 notes were primarily issued for the purpose of quickly replenishing the value of money which was being taken out from the system when the legal tender status of then-prevailing Rs 1000 and Rs 500 notes was withdrawn: RBI Governor Shaktikanta Das
Time is given up to Sept 30 (for exchange of notes) so that it is taken seriously, otherwise, if you leave it open-ended, it become kind of an endless process," says RBI Governor Shaktikanta Das.