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PIB Fact Check clarifies that Rs 500 notes continue to be legal tender and can be freely used for all transactions.
In June, PIB had issued a similar clarification after social media posts and videos claimed that Rs 500 notes would be demonetised in March 2026.
The Press Information Bureau (PIB) has dismissed claims circulating on social media that the Reserve Bank of India (RBI) will discontinue Rs 500 currency notes by March 2026, calling the reports false and misleading.
Responding to multiple posts on social media, the PIB’s fact-checking unit said the central bank has made no announcement regarding the withdrawal of Rs 500 denomination notes. “Some social media posts claim that the Reserve Bank of India will discontinue the circulation of Rs 500 notes by March 2026. PIBFactCheck: This claim is fake! RBI has made NO such announcement,” the agency said in a post on X.
RBI to stop ₹500 notes from ATMs by March 2026❓🤔Some social media posts claim that the Reserve Bank of India will discontinue the circulation of ₹500 notes by March 2026.#PIBFactCheck:
❌This claim is #fake!
✅ @RBI has made NO such announcement.
✅ ₹500 notes have… pic.twitter.com/F0Y3t0wHSf
— PIB Fact Check (@PIBFactCheck) January 2, 2026
The government media agency further clarified that Rs 500 notes continue to be legal tender and can be freely used for all transactions. It urged citizens to remain cautious and verify information from official sources before believing or sharing such claims. “Rs 500 notes have NOT been discontinued and remain legal tender. Always verify news from official sources before believing or sharing it!” PIB said.
This is not the first time the government has had to step in to counter rumours around the alleged demonetisation of Rs 500 notes. Similar claims have surfaced repeatedly in the past and have been consistently debunked by authorities.
In June, PIB had issued a similar clarification after social media posts and videos claimed that Rs 500 notes would be demonetised in March 2026. One such widely circulated video featured a YouTube news anchor making the claim, which was later refuted by the government.
Backing the clarification, Pankaj Chaudhary had informed Parliament in August that there were no plans to discontinue the supply of Rs 500 denomination banknotes. He also stated that ATMs would continue to dispense Rs 500 notes along with other denominations such as Rs 100 and Rs 200, dismissing rumours of any proposed withdrawal.
The government has repeatedly cautioned the public against falling for unverified information related to currency circulation, emphasising that any major decision on banknotes would be formally announced by the RBI through official channels.
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January 02, 2026, 17:29 IST
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