In December 2018, banker Uday Kotak had said that the outcome of the controversial demonetisation drive would have been "significantly better" if "simple things" like introducing Rs 2,000 currency notes were avoided.
When the ₹2,000 note was launched, it was decided that the printing would be "scaled down" going forward, since the new high currency value note was meant for meeting the remonetisation need. Rs 2,000 notes were introduced after the government banned the old Rs 500 and the Rs 1,000 denominations on November 8, 2016.
However, the reduction in printing of Rs 2,000 notes does not mean they will become invalid.
Talking to ANI, Subhash Chandra Garg, Secretary, Department of Economic Affairs said that the agency has "more than adequate" notes of Rs 2,000 and that the government has made no "recent" decision on production of the currency. Its introduction was criticised as it went against one of the stated objectives of demonetisation, which was to prevent hoarding of black money through high denomination notes.
Many Indian cities had reported a massive cash shortage last April which was believed to be due to hoarding ahead of state elections and in the aftermath of the PNB-Nirav Modi bank fraud.
"Printing of notes is planned as per the projected requirement".
The Reserve Bank of India (RBI), the central bank and lone authority on issuing currency, has not released any official comment yet on taking Rs 2,000 currency notes out of circulation. India added 958.7 crore Rs 500 notes in 2017-18, with 588.2 crore notes in circulation the previous year.