"Nitish called up a senior BJP leader, whom he is in touch with since last two days, and hailed PM Modi's decision as 'historic'," sources told ABP News.
This is the third time that Nitish has come out in support of the Centre's move and the divergent stand of coalition partners in Bihar on demonestisation has raised questions about their unity.
Last week, at the start of his second leg of 'Nishchay yatra' Nitish, BJP's former ally, said, "I am in favour of the decision to demonetise Rs 1000 and Rs 500 notes which will help end '2 number ka dhanda' (illegal business)."
He said he wants an attack on benami properties earned through illegal means for more effective results against black money.
However, the Bihar unit of Congress, a partner of Nitish Kumar-led grand secular alliance, on Wednesday protested against the demonetisation move, saying they were guided by the directives of party high command and were not concerned with the Chief Minister's support for the decision.
"We are not concerned as to what other parties are saying. We are guided by the directives of Congress high command," state Congress President and minister Ashok Choudhary, who led the march, told reporters on Wednesday.
Choudhary's terse remark came in reply to a question about the support of Nitish Kumar to the demonestisation of higher value currency which he has said would help fight the menace of black money.
(With inputs from agencies)