How Currency is Issued in India?

coins-notes-india

In India, the paper currency was first issued during British East India Company rule. The first paper notes were issued by the private banks such as Bank of Hindustan and the presidency banks during late 18th century. Via the Paper Currency Act of 1861, the British Government of India was conferred the monopoly to issue paper notes in India.

After this act, the government of India entered into …

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Last Updated: June 16, 2015

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Comments

  • ashishgangwar

    all of currency issued by RBI
    but 1rs currency is issued by government of India.
    why please tell me the reason?

  • ashishgangwar

    all of currency issued by RBI
    but 1rs currency is issued by government of India.
    why please tell

  • general knowlege manager

    hi buddy, ashish gangwar your question very good so that some behind that govt and rbi controll the money supply in india rbi is banker of govt ,so rbi only authority issued only note not that coins so govt of india issued coins and one ruppee note ,after that i will send some relevant data discuss our management well done study our website i ‘ll provide good data for your competitive exam ,good day everyone

  • pavan

    The Information here is so authentic. Thanks for posting it.

  • usman

    why the coins of different value r of same size?eg,coins of 50 paise 5 rupee 1rupee and 2rupee? why cant they be changed in size as per their value? what is the logic behind this?

  • deepak sukhwak

    hi i m deepak..your question is why rbi not isue one rupee note.the answer is rupee is a currency of india. so central govt is issue but after other note is only a promessary note.you saw in a note ‘i promise to pay the bearer tum sum of rupe..rbi is work of behind of the govt..i hope u understand

    • Dhirendr Devarshi

      A few years ago coins of different denominations were of different size and shape. India is one of few countries who have tried a variety of shapes for coin production but it appears that recently we have decided to zero in to circular shape only. You may be knowing that 1 paisa coin was issued in two shapes, 2 paisa coin had a wavy margin. 3 paisa coin was polygonal, so was 20 paise coin (second issue). 5 paise coin was rectangular.

  • Archana

    The articles are very good on this site. I request to the owner please provide more and more articles on banking related to current issues and basics of Banking.

  • himpat.verma

    i wish to know about rights and duties of currency chest branches. what is the area of operation? if any bank has currency chest and also handling clearing house,can that branch make frequent payment to clearing member branch if needed? i m branch head in SBOP and SBI is having currency chest and also conduct clearing house. SBI refuse us to make cash payment from our current accoun tell us to get the currency from your currency chest which are 200 kms away. kindly provide me solution.

  • Raghu

    pls explain me…..
    What is the sum of the total currency available in india equal to i.e, is there any constraint ???

  • suji

    is there any limitations for RBI to print indian rupees i mean the total sum of amount to be printed at a time

  • priya mendis

    I love this site the most useful one forthe general knowledge about Indian fields of education!!

  • Meblog

    Very good site

  • Satyarth soni

    At what condition rupee are made? Is it manufacturing is somehow related to new reserve found in india? I mean that the value of reserve newly found, currency of that value is issue by RBI. Plz tell me

  • Devarshi

    Has RBI stopped priniting of 5 Rupees note? If yes, since when. Was a 5 rupee note with rupee logo ever printed?

  • bhushan

    why indian coin use in without sign,but other note are require d to signiture

  • VIVEK

    HI..
    My question is that …how its decided that what amount of new notes to be issued on new coins to be minted .Is there any protocol for this.
    why can’t India print required numbers of notes and get rid of its debts…
    Sir plzz explain.

  • Daljit Singh

    Very nice article indeed and so are some of the comments.
    I need to know:
    1.Is there anything in the Indian constitution that ways who shall produce money- government itself or some other agency ? Apparently except one rupee note, rest of the money is produced by another agency.
    2.Does the government procure “interest free”/debt free money from RBI, or does it bind itself (bond) and does it pay interest on the money procured from RBI?
    3.Why the interest rates in India are so high for the public, compared to the countries in the West ?

  • saranya

    it is a very good article , help me know about Indian currency & money

  • latief ahmad

    Is a 10 rupee coin issued by rbi or govt.of india

  • rahul shinde

    where are?old british india paper money i purchase!

  • captain chitta srinivas

    what is the regulation regarding abuse of utilising the currency notes at political meetings and places of worship when they are used in the form of barlands for deities and political leaders

  • captain chitta srinivas

    what is the regulation regarding abuse of utilising the currency notes at political meetings and places of worship when they are used in the form of garlands for deities and political leaders

  • Madhukar

    I want some 200 to 300 one rupee coin, can you please let me know the Bangalore address as I am new to Bangalore. Thanks in advance.
    Madhukar

  • bibi

    plz explain me what are scientific processes involved in making of notes and coins?

  • Arun

    tell me any fake currency checking machine rbi aproved ?

  • Devendra Chittuluru

    Where can I get rupee coins in Bangalore. Is it at RBI?. If yes, can I just walk in and get the coins over the counter?

    Looking at the currency chest bank list in the RBI website, I approached Vijaya bank, MG Road in Bangalore. They said, they will give coins only if I show a letter from RBI.

  • Kartik raval

    Sir
    Plz help it
    I wann by new 1 rupees note
    Were go 2 I ll giv it

  • sayoushi

    how it is decided that in what amount/no. the currency notes will be printed

  • avantika123456

    Pretty precise and accurate gist of important events about currency notes of India.