Govt Approves RBI's Trials of ₹10, ₹20 Polymer Notes; No Plan to Replace Paper Currency
The RBI plans to test 100 crore ₹10 and ₹20 polymer notes each after government approval, with issuance alongside paper currency if trials succeed.
- On Monday, Minister of State for Finance Pankaj Chaudhary announced in the Lok Sabha that the RBI will trial 100 crore pieces each of Rs 10 and Rs 20 polymer banknotes, worth a total of Rs 3,000 crore.
- First issued by Australia in 1988, plastic banknotes are now used in more than 50 countries and are widely considered superior to paper notes due to their significantly higher life span.
- Marking the second attempt after a 2009 trial failed due to "certain technical infirmities," Bharatiya Reserve Bank Note Mudran Private Limited floated a global tender for 3.4 crore polymer sheets on July 17.
- Chaudhary clarified that polymer notes will supplement paper currency rather than replace it; these notes account for 1.3% of circulation value and undergo testing across Kochi, Mysuru, Shimla, Jaipur, and Bhubaneswar.
- The tender noted an "immediate requirement" and stated, "we intend to go for procurement of larger quantity of substrate across different denominations" following successful trials to complement existing digital payment systems.
25 Articles
25 Articles
The Central Government has approved the RBI's proposal for field trials of polymer notes in denominations of 10 and 20 rupees. 2 billion notes will be issued in the initial phase. If the trials are successful, a decision will be made on their regular circulation. For now, paper notes will not be discontinued, and the new polymer notes will continue to circulate alongside existing notes.
Polymer Notes in India: RBI To Test Plastic INR 10 and INR 20 Banknotes, Paper Currency To Remain | 📰 LatestLY
The central government approved an RBI proposal to pilot one billion each of INR 10 and INR 20 polymer banknotes for field trials to test durability. These notes will coexist with paper currency, not replace it. The approval was confirmed by Minister of State for Finance Pankaj Chaudhary in a written reply to queries in the Lok Sabha. 📰 Polymer Notes in India: RBI To Test Plastic INR 10 and INR 20 Banknotes, Paper Currency To Remain.
The Economic Times
Times of IndiaGovt approves RBI's trials of ₹10, ₹20 polymer notes; no plan to replace paper currency
The government has approved the Reserve Bank of India's proposal for polymer banknotes. One billion pieces each of ten and twenty rupee polymer notes will undergo field trials. These new notes are expected to be more durable and have a longer lifespan. The introduction of polymer notes is still in a preliminary phase.
RBI to trial Rs 10, Rs 20 plastic notes worth Rs 3,000 Crore; Centre says no proposal to replace paper notes
While notes of Rs 10 and Rs 20 denomination make up almost a quarter of all currency notes in terms of pieces, they account for a mere 1.3% of the value of notes in circulation.
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