Here’s what the RBI is going to do with the old Rs 500 and Rs 1000 notes

Ever since Prime Minister Narendra Modi announced that Rs 500 and Rs 1000 notes would cease to be legal tender to unsuspecting Indians, the country has gone berserk trying to get their hands on the new currency.

In the midst of this, the other question plaguing a lot of curious souls is how exactly is the government going to get rid of the Rs 500 and Rs 1000 notes that were in circulation? Considering they comprised approximately 86% of cash being used in Indians, it does seem like quite a mammoth task.

But, reportedly the RBI doesn’t think that destroying expired notes would be that big a challenge even though it has the daunting task of destroying around 20 billion expired banknotes in front of it.

While talking to BBC on the matter, this is what the RBI official said, “Destroying so much cash is not a challenge because we have enough shredding and briquetting machines with very high capacities. These are automatic machines which shred the cash into the finest of pieces.”
Additionally, they’ve made it a point to ensure that the shredding rooms have tight security around and that the people who carry out the shredding process wear surgical masks to cover their noses and mouths in order to prevent themselves from dust and fungus.

The RBI plans to shred the notes into smallest of pieces and make briquettes out of them and then dump them in vast landfills. That said, in some cases, these notes could also be recycled to make paper-weights, calendars etc.