Here is a bad news for people thinking of hoarding the new Rs 2000 currency notes.
Here is a bad news for people thinking of hoarding the new Rs 2000 currency notes. At a time when the opposition is attacking the government for introducing the Rs 2000 currency notes after demonetisation, a view has emerged that the new high denomination note may not have a long life.
In an exclusive interview to India Today news channel, RSS ideologue, journalist and chartered accountant S Gurumurthy said the new Rs 2000 notes will be phased out of the system in the next five years.
This statement is significant as Gurumurthy is a seasoned face and the government consults him on several issues. Moreover, the Opposition leaders like Arvind Kejriwal have wondered as to how introducing Rs 2000 notes would end corruption or black money.
Sharing his view on the issue, Gurumurthy said that Rs 2000 is “only a bridge” as the government had to bring it in place of the old Rs 1000 notes for the time being. The Rs 2000 notes will be phased out in the next 4-5 years.
When asked if the removal of Rs 2000 notes would shake people’s confidence in the Indian currency, Gurmurthy said the notes would be gradually replaced by the currency notes of lower denomination and not declared illegal as it has been done in the case of old Rs 500 and Rs 1000 notes.
According to Gurumurthy, the new Rs 2000 notes will be phased out gradually to shift to small denomination currency notes. The seasoned journalist suggested that Rs 500 should be the highest valued note in the market, followed by, may be Rs 250, Rs 200 and Rs 100.
Several economists like ex-Prime Minister Manmohan Singh have claimed that demonetisation has shaken people’s confidence in the Indian currency. The replacement of Rs 2000 notes may further dip the confidence, if the claims of such economists are right.
However, the government is keeping secrets and it would be confident that removal of Rs 2000 notes won’t lead to loss of people’s confidence or trust in the currency. For the government is now promoting digital currency and it hopes that in the next five years, people will prefer digital transactions over the cash-based transactions. In such a situation, Rs 2000 notes would automatically become obsolete.
Gurumurthy is one of the key members of RSS-backed Vivekanand Foundation.