How Currency Notes Are Issued
The Reserve Bank of India (RBI) is the sole authority responsible for issuing currency notes in India. The process involves designing notes with enhanced security features, selecting motifs that reflect India’s cultural heritage, and ensuring smooth circulation. Every currency note issued by the RBI bears the signature of the current Governor, signifying its authenticity. Recently, the RBI announced the issuance of new Rs 100 and Rs 200 notes with a key change—the signature of the newly appointed Governor, Sanjay Malhotra.
What’s New in the Rs 100 and Rs 200 Banknotes?
The RBI has clarified that while the new notes will retain the existing design under the Mahatma Gandhi (New) Series, they will feature the signature of Governor Sanjay Malhotra, who took charge in December 2024.
Despite the introduction of these new notes, all previously issued Rs 100 and Rs 200 banknotes will continue to be legal tender, ensuring no disruption in day-to-day transactions.
Design and Features of the New Banknotes
Rs 200 Banknotes
- The Rs 200 note in the Mahatma Gandhi (New) Series will have a bright yellow base color.
- The reverse side will feature the Sanchi Stupa, a UNESCO World Heritage Site, symbolizing India’s rich cultural history.
- The note will incorporate intricate geometric patterns aligning with the overall color scheme.
- Size: 66mm x 146mm.
Rs 100 Banknotes
- The Rs 100 note in the Mahatma Gandhi (New) Series will have a lavender base color.
- The reverse side will showcase Rani ki Vav, a famous stepwell in Gujarat, highlighting India’s architectural heritage.
- Similar to the Rs 200 note, it will include geometric patterns complementing the note’s color.
- Size: 66mm x 142mm.
The Story of the Rs 2000 Note: Introduction and Withdrawal
India’s currency history has seen several changes over the years, with the Rs 2000 note being a key example. Introduced in November 2016 after the demonetization of Rs 500 and Rs 1000 notes, the Rs 2000 note was intended to address the short-term cash crunch. However, over time, the RBI reduced its circulation due to concerns over hoarding and limited use in daily transactions.
In May 2023, the RBI announced the gradual withdrawal of the Rs 2000 note from circulation, allowing people to deposit or exchange them at banks. Despite being withdrawn, the Rs 2000 note remained legal tender, ensuring a smooth transition without economic disruption.
History of Currency Notes in India
India’s currency system has evolved significantly since its first banknotes were issued in the British era. Initially, the notes featured British monarchs, but post-independence, the government introduced new designs reflecting India’s heritage.
The Mahatma Gandhi Series was launched in 1996, followed by the Mahatma Gandhi (New) Series in 2016, incorporating enhanced security features and cultural motifs. The introduction of color-coded notes with distinct themes has made Indian banknotes easily identifiable while ensuring robust anti-counterfeiting measures.
The Future of Indian Currency Notes
With the issuance of new Rs 100 and Rs 200 banknotes, the RBI continues its commitment to maintaining a secure and efficient currency system. While digital payments are rising, physical currency remains a crucial part of India’s economy. As the financial landscape evolves, further innovations in banknote design, security features, and circulation strategies are expected to ensure seamless transactions and economic stability.
(With inputs from agencies)
