The government has implemented a great change in the economic environment by demonetising the high value currency notes of Rs 500 and Rs 1000. These ceased to be legal tender from the midnight of 8th of November 2016. People have been given up to December 30, 2016 to exchange the notes held by them. Through this proposal government involves the elimination of these existing notes from circulation and replacement with a new set of notes of Rs.2000 and Rs.500. In the short term, it is intended that the cash in circulation would be substantially squeezed since there are limits placed on the amount that individuals can withdraw. As a result of this demonetisation people were queuing in the bank for exchange and deposit of the same demonetised currencies. This paper elucidates the response and attitude of rural people towards demonetisation of high value currencies.

KEY WORDS: demonetisation, attitude, economy, currency.