Government today said sufficient cash is available with RBI and banks, and it is not considering extending the deadline of December 30 for deposit of invalid Rs 500 and Rs 1,000 notes.
The statement was made in the Rajya Sabhaeven as people queued up at banks to deposit old high value notes and withdraw new cash.
Minister of State for Finance Arjun Ram Meghwal told the Rajya Sabha in a written reply.
"There is sufficient cash available with the Reserve Bank of India and banks. Circulation of notes in respect of Rs 100 has already been increased," said Meghwal in a written reply.
On whether the December 30 deadline will be extended, the Minister of State for Finance said, "No such proposal for extension of deadline beyond December 30, 2016, is presently under consideration of the government."
To cater to the requirements of rural areas, banks have been advised to supply notes of smaller denominations (Rs 100 and less), Meghwal added.
As on November 8, the day demonetisation was announced, there were 1,716.50 crore pieces of Rs 500 and 685.80 crore Rs 1,000 notes in circulation.
The exchange of old Rs 500 and Rs 1,000 notes for new currency has been stopped at all banks from Thursday midnight, and will continue only at the Reserve Bank of India.