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Urjit Patel: The Reserve Bank of India kept ready a reasonable stock of new 500 and 2000 Rs notes before demonetisation

A Reasonable Stock Of New Rs 500 And Rs 2,000 Currency Notes Were Kept Ready By The Reserve Bank Of India Before The Announcement Of Demonetisation On November 8 By Prime Minister Narendra Modi.

PTI | Updated on: 27 Apr 2017, 10:35:18 PM
Urjit Patel

New Delhi:

A reasonable stock of new Rs 500 and Rs 2,000 notes were kept ready by the Reserve Bank of India before the announcement of on November 8 by Prime Minister 

However, no records of discussion between the and the on were maintained because of secrecy, Governor has told a Parliamentary Standing Committee on 

"Critical factors, such as installed capacity for printing and other resources viz availability/expected supply of inputs, like note paper, ink, logistics requirements etc were factored in and was shared and discussed with the periodically," Patel said in a written reply.

"The arrangement for printing of new notes of Rs 2,000 and Rs 500 was started months back taking into the account all critical factors. By the date of the announcement, reasonable amount of new designed notes had already been printed and kept ready," he said.

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The had withdrawn old Rs 500/1000 notes on November 9 last year with an aim to check black money, terror financing and counterfeit 

The move had taken about 86 per cent of the out of circulation, leading to huge shortage of cash.

informed the parliamentarians that as on November 8, there were 17,165 million pieces of Rs 500 and 6,858 pieces of Rs 1,000 notes in circulation aggregating Rs 15.44 lakh crore.

Patel also said discussions between the and the central had started in early 2016 when Raghuram Rajan was the Governor.

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On the details of conversation between Rajan and the on demonetisation, Patel said: "No such minutes of conversation with the previous Governor are on record.

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First Published : 27 Apr 2017, 10:15:00 PM