According to an inside source, The Board of Reserve Bank of India (RBI) have shown a green signal for the introduction of new Rs.200 notes denomination.
According to the inside source, the decision was taken in March by the officials. The printing of the new currency notes will start after June after the government officially approves this new denomination.
The source said, “We felt there is a need now for smaller denomination notes. There are no denominations between Rs.100 and Rs.500. So, we have proposed the introduction of Rs.200 by the government. In case a decision is taken to introduce the new note, it will take 6 to 8 months for the new currency to be in circulation.”
When contacted with RBI, the spokesperson declined to comment on any of the news.
The source also said, “Rs 200 currency note is in the pipeline. But, unless it is notified by the Central Government, making a dye (block), working on security features and printing process of Rs 200 will not take place. So this time, RBI would implement its plan only after the Centre’s notification.”
The new currency notes may be printed at two currency presses in the country. One is Bharatiya Reserve Bank Note, Mudran Private Limited — a subsidiary of the RBI, and the government owned – Security Printing and Minting Corporation of India Limited.
According to RBI, smaller currency notes have constituted only 13.6% of total currency circulation as of March 2016. Whereas the higher denomination notes of Rs.500 and Rs.1000 have constituted 86.4% in currency circulation.
The rumours are also floating around that the government is also in plans to revamp the Rs.1000 currency notes with enhanced security feature. However, the plan was dropped by the government for the remapping of Rs.1000 currency notes. Read more RBI related news.
Launch Your Mobile App in 6 weeks. Learn More "Convert your Idea in to business".