Currency System in India
Current Affairs plays an important part in all competitive exams like SSC, IBPS, etc. The current affairs section includes questions from Currency System in India. To score good marks in this section, candidates should be aware of the present Currency System in India. Go through the complete post to know about the new currency system in India.
Currency System in India
As per the official notification, RBI is going to release new 10 rupee notes soon. The new 10 rupee notes will bear the signature of Dr. Urjit R. Patel. Before this, they had introduced new 50 rupee notes.
- Reserve Bank of India plays an important role in Indian Currency System.
- The present monetary system is based on inconvertible paper currency, supplemented by coins.
- RBI is responsible for the design, production and overall management of the nation’s currency, with the goal of ensuring an adequate supply of clean and genuine notes.
- In this post, we will explain the Currency System in India. So, let us discuss all of them one by one.
- Candidates are advised to take up the Current Affairs Quiz regularly to excel their knowledge around all the happenings in the world.
- On 8th November 2016, the Government of India demonetized old 500 and 1000 rupee notes, with the aim of ending corruption.
- After that, 200 and 50 rupee notes were released.
- And soon, RBI will launch the new 10 rupee note.
- 1,695.7 crore pieces of Rs. 500 denomination notes cost Rs. 4,968.84 crore.
- 365.4 crore pieces of Rs. 2000 denomination notes cost Rs. 1,293.6 crore.
- 178 crore pieces of Rs. 200 denomination notes cost Rs. 522.83 crore.
New 10 Rupee Note
- New colour- chocolate brown.
- Height – 63 mm, Width – 109 mm
- Motif of Konark Sun Temple on the back
Denomination of Bank Notes & Coins
The RBI has the rights to issue banknotes in the denominations of five thousand rupees and ten thousand rupees or any other denomination that the Central Government may specify.
- Also, the RBI has the authority to print and issue currency notes of different denominations right from two rupee notes to ten-thousand rupee notes in terms of the current provisions of the Reserve bank of India of Act, 1934.
- Coins can be issued up to the denomination of Rs.1000.
New 50, 200, 500, and 200 Rupee Note
- The new 50 rupee note is fluorescent blue in colour. It also has a motif of Hampi with Chariot plus the Swachh Bharat logo and slogan.
- And the new 200 rupee note is yellow in colour. It features the motif of the Sanchi Stupa in Madhya Pradesh. Furthermore, it also has a raised identification mark H with micro-text Rs 200, four angular bleed lines with two circles in between the lines both on the right and left sides. This has been designed to aid the visually impaired people to help detect fake notes.
- 2000 rupee note was introduced in 2016. And it has a magenta color. On the back side, there is a motif of Mangalyaan. Furthermore, it also has a rectangle with Rs. 2000 in raised print on right as well as seven angular bleed lines in raised print to aid the visually impaired.
- There is a motif of the Red Fort on the new stone-grey 500 rupee note. It also has a circle with Rs. 500 in raised print on the right as well as five angular bleed lines in raised print to aid the visually impaired.
Role of Government of India in the Indian Currency System
The design of banknotes is required to be approved by the Central Government on the recommendations of the Central Board of RBI as per section 25 of RBI Act, 1934.
- The responsibility for coinage vests with the Government of India on the basis of the Coinage Act, 1906 as amended from time to time.
- Also, the government of India attends to the designing and minting of coins in various denominations.
Currency System In India FAQ’s
Q. Who is responsible for printing notes and minting coins?
Ans: Security Printing and Minting Corporation of India Limited (SPMCIL), owned by the Govt. of India is responsible for printing notes and minting coins.
Q. Where are the printing presses located?
Ans: The printing presses are located in the following regions:
- Nasik in Maharashtra
- Dewas in Madhya Pradesh
- Mysore in Karnataka
- Salboni in West Bengal
Q. How many mints for coin production are in force?
Ans: There are a total of four mints for coin production are in force and those are at Mumbai, Noida, Kolkata, and Hyderabad.
Q. How do they facilitate the distribution of currency?
Ans: The currency is distributed through select branches of banks called Currency Chests.
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