Rs 500 Note Discontinuation by 2026? Government Clarifies

Swift Summary

• Clarification by PIB: The Press Details Bureau (PIB) Fact Check unit has clarified that the rs 500 currency note will not be withdrawn by march 2026, debunking viral claims as fake.
• Origin of Rumor: A YouTube video by ‘CAPITAL TV’ falsely claimed the Reserve Bank of India (RBI) plans to discontinue Rs 500 notes. PIB confirmed no such declaration has been made and stated these notes remain legal tender.
• Advisory for Citizens: Citizens are urged to verify financial claims from official RBI or government sources before believing or sharing them.
• Efforts Against Fake News: this clarification is part of PIB’s ongoing drive to combat financial misinformation circulated via social media and digital platforms.
• rs 2,000 Note Context: The RBI had decided to withdraw rs 2,000 banknotes in May 2023. As of May 31, 2025, almost all (98.26%) Rs 2,000 notes have been returned from circulation.

Indian Opinion Analysis

The government’s proactive response through the Press Information Bureau highlights its commitment to curbing misinformation around sensitive economic matters like currency changes. Viral rumors related to legal tender can disrupt public trust and potentially cause unnecessary confusion within India’s banking system and economy if unchecked.While this episode underscores the importance of media literacy among citizens-especially regarding financial matters-it also reflects a need for tighter oversight on platforms hosting content that circulates unfounded claims.given past experiences with larger denominations like Rs 2,000 being phased out efficiently (as evidenced by nearly full compliance), similar fears about future withdrawals may stem more from speculation than credible evidence.

Nonetheless, the clarification reinforces that India’s policy on monetary instruments hinges on careful planning rather than arbitrary decisions influenced by rumors circulating online. As always, clarity in communicating any major monetary policy shifts is key for maintaining public confidence.

Read More