Plastic Notes in India Get a Likely Release Date: Here's What RBI Governor Said
Governor Sanjay Malhotra said the notes could last over 30 years and would be aimed at lower denominations with high circulation.
- On Wednesday, August 5, 2026, RBI Governor Sanjay Malhotra announced the Reserve Bank targets launching polymer currency notes by the beginning of the next financial year.
- Malhotra noted that polymer notes have lasted for over 30 years in other jurisdictions and work especially well for lower-denomination notes with high velocity.
- Separately, the RBI Governor said future interest rate decisions will remain data-dependent, with the central bank prioritizing alignment of headline inflation with its 4% target over the medium term.
- Commenting on the Foreign Currency Non-Resident scheme, Malhotra said fund flows have been "robust," with no plans for premature closure despite the central bank's associated costs.
- The Reserve Bank aims to maintain an orderly rupee trajectory, Malhotra said; further strengthening remains possible if geopolitical tensions de-escalate.
23 Articles
23 Articles
RBI polymer banknotes: India to test plastic ₹10 and ₹20 notes
The RBI is launching trials for polymer ₹10 and ₹20 notes to improve durability and security. While more expensive initially, these plastic banknotes last longer, reduce replacement costs, and will circulate alongside existing paper currency.
Polymer rupee notes may be a reality in FY28
RBI Governor Sanjay Malhotra announced plans to launch long-lasting polymer currency notes by the next financial year. He also discussed the central bank's data-dependent approach to interest rates, its focus on aligning inflation with the 4 per cent target, and the orderly trajectory of the rupee amidst geopolitical tensions.
RBI on Plastic Current Notes: People in India will soon be holding plastic 10-20 rupee notes. While this proposal has been approved by the Modi government in Parliament, the RBI has also geared up to launch them.
Coverage Details
Bias Distribution
- 58% of the sources lean Right
Factuality
To view factuality data please Upgrade to Premium
