Demonetisation and the introduction of new Rs 2,000 notes was meant to curb the flow of black money, but between 2016 and 2022, the number of fake currency of that denomination surged by 107 per cent. After questions were raised on the implementation and results of demonetisation year after year, Rs 2,000 notes are finally being withdrawn from circulation.
But it turns out that just before the move, the number of fake Rs 2,000 notes went down, while counterfeit Rs 500 notes went up by 14.4 per cent.
Drop in fake Rs 2,000 notes in year before withdrawal
As the quantity of counterfeit Rs 2,000 notes in the Indian economy dropped to 9,806 units in FY23 from 13,604 in FY22, fake Rs 500 notes went up to 91,110.
Although the circulation of fake Rs 10 and Rs 100 notes decreased, the number of Rs 20 in counterfeit notes went up by 8.4 per cent.
The decline in fake Rs 2,000 notes, which were around 60 per cent of the total counterfeit currency discovered in 2021, also comes along with a total decline in the detection of fake money.
This recent drop comes after a surge in counterfeit currency detection in FY22, before which it had dropped in FY21.
