CURRENCY MANAGEMENT

April 18, 2019

The Reserve Bank of India (RBI) has put into circulation 50 rupees denomination banknotes signed by its Governor Shaktikanta Das. The design of these notes is similar in all respects to 50 banknotes in Mahatma Gandhi new series.

About:

Meaning: Currency management essentially relates to issue of notes and coins and retrieval of unfit notes from circulation.
Underlying acts:
- Currency management is a core function of the Reserve Bank in terms of the Reserve Bank of India Act, 1934.
- The responsibility for coinage vests with the Government of India on the basis of the Coinage Act, 2011.
Department of Currency Management (under RBI): It addresses policy and operational issues relating to –
- designing of banknotes,
- forecasting demand for notes and coins,
- ensuring smooth distribution of banknotes and coins throughout the country and retrieval of unfit notes and uncurrent coins from circulation,
Printing Presses: The Department receives notes from four currency note printing presses.
- Two of the currency note printing presses at Nasik (Western India) and Dewas (Central India) are owned by the Government of India.
- The other two at Mysore (Southern India) and Salboni (Eastern India) are owned by the Reserve Bank, through its wholly owned subsidiary, the Bharatiya Reserve Bank Note Mudran Ltd. (BRBNML).
- Coins are minted in four mints owned by the Government of India. The mints are located at Mumbai, Hyderabad, Calcutta and NOIDA.