How will the shortage of cash be met after the withdrawal of Rs 2000 notes? SBI chairman Dinesh Khara told the way

The Reserve Bank of India (RBI) had decided on Friday to withdraw the Rs 2000 note from circulation. Regarding this, State Bank Chairman Dinesh Kumar Khara said that the decision to withdraw Rs 2000 note will not have any significant impact on the economy, as the Unified Payment Interface (UPI) transaction will fill this gap.

SBI chairman said that around 63 to 64 percent of GDP supports UPI or currency. At the same time, UPI currently contributes 50 to 51 percent of GDP and only 13 percent of currency is contributed. Therefore, the impact of the decision to withdraw the 2000 rupee note issued in 2016 will be very less.

How much will be the effect if the note of 2000 rupees is closed?

During a special conversation with Business Today TV, SBI Chairman Dinesh Kumar Khara said that the contribution of Rs 2000 note in circulation is about 50 percent. They say that taking it out of circulation may have an impact of 10.8 per cent to 11 per cent, but UPI can fulfill it and this decision will focus on taking UPI further.

Bank instructed to withdraw Rs 2000

The central bank said on Friday that it has been decided to withdraw the Rs 2000 note. However, Rs 2000 notes will continue to be legal tender. RBI also asked banks to stop issuing Rs 2000 notes with immediate effect. Apart from this, RBI said that 19 regional offices and other banks should start the process of taking back the notes from 23 May.

exchange facility

Khara said that this note will remain legal tender. He said that RBI has cleared that Rs 2000 note can be exchanged with any other note. He said on the shortage of Rs 500 note that I do not think this will happen. This can be accomplished through UPI transactions, as more payments are being made through UPI at the present time.

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Preparations were already going on to close the 2000 note, this could be the reason behind RBI’s decision