The Reserve Bank of India has extended the date for the public to exchange their pre-2005 banknotes till December 31, 2015.
The apex bank had in December 2014 set the last date as June 30, 2015.
Soliciting cooperation from members of public in withdrawing these banknotes from circulation, the RBI has urged them to deposit the old design notes in their bank accounts or exchange them at a bank branch convenient to them. The RBI has stated that the notes can be exchanged for their full value. It has also clarified that all such notes continue to remain legal tender.
Explaining the move, the RBI said that the banknotes in the Mahatma Gandhi series have now been in circulation for a decade. A majority of the old banknotes have been withdrawn through bank branches. It has, therefore, decided to withdraw the remaining old design notes from circulation. Not having currency notes in multiple series in circulation at the same time is a standard international practice, the RBI pointed out.
The Reserve Bank will continue to monitor and review the process so that the public is not inconvenienced in any manner.