Indian currency

WELCOME TO MY PRESENTATION TOPIC ON INDIAN CURRENCY

SUBMITTED TO:-Prof. -GURPREET KAUR Assistant Professor of

Commerce

SUBMITTED BY:-RAJESH KUMARB.COM 4th SEM.

GURU NANAK COLLAGE SUKHCHAINANA SAHIB, PHAGWARA

Contents…. Meaning History Issuance of currency Denominations Notes and coins Production Indian Rupee- Notes specification Currency circulation Soiled notes Mutilated notes

HistoryBarter System

History of Indian Currency

INDIAN CURRENCY “Money is any object or record that is generally

accepted as payment for goods and services and repayment of debts in a given socio-economic context or country”

Indian Currency- Indian Rupee (INR)

Origin of the word "rupee" is found in the Sanskrit word rūp or rūpā, which means "silver“

Money

INDIAN CURRENCY

BIRTH OF RUPEE

The first RUPEE was introduced by Sher Shah Suri (1486-1545) based on a ratio of 40 copper pieces (paisa) per rupee.The name was derived from the Sanskrit word raupyakam, meaning Silver.

History of Indian Currency When was the first note issued in India ? The process of issuing paper currency was started in the 18th century. Private banks such as – the banks of Bengal, the banks of Bombay, and the banks of Madras – first printed paper money. It was only after the paper currency act of 1861 that the government of India was given the Monopoly to print currency.

The Government of India printed currency until the RBI was established in 1935, which Then took up this

responsibility.

In 1938 India was printing Banks notes of Rs 10,000 denomination !

The Rs. 5-notes was the first paper currency issued by RBI in January 1938. It had the Portrait of George

VI. Within the same year, currency notes of Rs 10; Rs100; Rs 1,000 and Rs 10,000 were issued.

Issuance of currencyIn 1946 Rs.1,000 and Rs. 10,000 notes were denomination to curb uncounted money these were then reintroduced in 1954(this time Rs 5,000 notes was also printed), only to be withdrawn in 1978 again.

According to RBI Act 1934, Section 22, RBI has the sole right to issue bank notes of all denominations.

RBI is responsible for thee design, production and management of the currency of India, with the goal of ensuring an adequate supply of clean and genuine notes. The responsibility for coinage vests with the government of India on the basis of the Coinage Act,2011.Rbi acts as an agent of the government which merely distributes the Coins in the market.

Denominations What are the present denomination of banks notes in India?o At present, notes in India are issued in the denomination of Rs.5, Rs.10, Rs.20,

Rs.50, Rs.100, Rs. 500 and Rs.2000. these notes are called bank notes as they are issued by the Reserve Bank of India (Reserve Bank). The printing of notes in the denomination of Rs.1 and Rs.2 has been discontinued as these denomination have been coincides. However, such notes issued earlier are still in circulation. The printing of notes in the denomination of Rs.5 has also been discontinued; however, it has been decided to reintroduce these notes so as to meet the gap between the demand and supply of coins in this denomination.

o Currently, RBI has issued currency notes in the denomination of Rs.10,20,50,100,500 and 2000. However, it can issued notes with denomination up to Rs. 10,000, as per the provision of RBI Act, 1934

Security feature of Indian Banknotes

Security feature of Indian Banknotes

Watermark:- The Mahatma Gandhi Series of banknotes contain the Mahatma Gandhi watermark with a light and shade effect and multi-directional lines in the watermark window.

Security thread :-When held against the light, the security thread on Rs.2000, Rs.500 and Rs.100 can be seen as one continuous line.

Latent image:-The latent image is visible only when the note is held horizontally at eye level.

Intaglio:-The portrait of Mahatma Gandhi, the Reserve Bank seal, guarantee and promise clause, Ashoka Pillar Emblem on the left, RBI, Governor's signature are printed in intaglio i.e. in raised prints, which can be felt by touch, in Rs.20, Rs.50, Rs.100, Rs.500 and Rs.1000 notes.

Security feature of Indian Banknotes

Fluorescence:-Number panels of the notes are printed in fluorescent ink. The notes also have optical fibers. Both can be seen when the notes are exposed to ultra-violet lamp.

Micro lettering :-Appears between the vertical band and Mahatma Gandhi portrait.

Identification mark:-This feature is in different shapes for various denominations (Rs. 20-Vertical Rectangle, Rs.50-Square, Rs.100-Triangle, Rs.500 & 2000-Seven bleed line)

Optically variable ink:-The color of the numeral 2000/500 appears green when the note is held flat but would change to blue when the note is held at an angle.

Liabilities

Small and Rupee Coins- Government of India

Rupee One Banknote- Government of India (signed by Finance secretary)

Banknotes above Rupee One– Reserve Bank of India (singed by RBI Governor)

Determination of volume and value of banknotes to be printed

• RBI based on the demand requirement indicates the volume and value of banknotes to be printed each year to the government which get finalized after mutual consent.

The quantum of banknotes to be printed depends on the following :-

• GDP Growth • Inflation rate • Replacement of Soiled and mutilated notes• Reserve stock requirement, etc…

Each banknote has its

amount written in 17

languages (English & Hindi

on the front, and 15

others on the back)

illustrating the diversity of

the country.

INDIAN RUPEE LANGUAGE PANELS

Who gave the logo of Indian rupee?

The symbol was selected through an open competition among Indian residents. The competition was announced by the G.O.I on 5 March 2009. From around 3,331 responses received, the final symbol was selected at the Union council of Ministers of India on 15 July 2010. The symbol was presented by Udaya Kumar Dharmalingam

on 15 July 2010. Before its adoption, the most commonly used symbol were Rs or Re. The design resembles both the Devanagari letter "र" and the latin capital letter "R" with the double horizontal line at the top.

Coins are

minted

Mumbai

Kolkata

Hyderabad

Noida

Notes and Coin Production

Notes are

Printed

Nashik

Dewas

Salboni

Mysore

Mumbai MintThe Mumbai Mint: Established - 1829. Mint marks. Diamond Shape

under Date of the Coin.

The Kolkata (Calcutta) Mint Established - 1757. has No Mint Mark beneath the

date of coin.

KOLKATA MINT

The Hyderabad MintHyderabad Mint: Established - 17th Century. Mint marks has a star

under the date of the coin (year of the issue).

• The Noida Mint has a small or thick

dot under the date of the Coin. Production

started in 1988.

Noida Mint

VALUE (Rs)

DIMENSION(MM)

MAIN COLOR

OBVERSE REVERSE DATE OF ISSUE

Cost of production

Rs.5 117 × 63  Green

Mahatma Gandhi Tractor 2002 0.47

Rs.10 137 × 63 

Orange-violet

Mahatma Gandhi

Rhinoceros, elephant, tiger

1996 0.96

Rs.20 147 × 63  Red-orange

Mahatma Gandhi Palm trees 2002 1.46

Rs.50 147 × 73  Violet

Mahatma Gandhi Parliament of

India 1997 1.81

Rs.100 157 × 73 

Blue-green Mahatma Gandhi Himalaya

Mountains 1996 1.79

Rs.500 150 × 63  Stone grey

Mahatma Gandhi RED FORT 2016 3.09

Rs.2000

166 × 66  Magenta

Mahatma Gandhi MANGALYAAN 2016 3.54

INDIAN RUPEE – NOTE SPECIFICATIONS

Currency circulationRBI currently manages the currency operations through its-19 Issue Office located at:- Ahmedabad, Bengaluru, Belapur, Bhopal, Bhubaneshwar, Chandigarh, Chennai, Guwahati, Hyderabad, Jaipur, Kanpur, Kolkata, Lucknow, Mumbai, Nagpur, New Delhi, Patna, Thiruvananthapuram

A wide network of Currency chestsThe Issue offices receive fresh banknotes from the printing press of RBI, and than send the notes to the designed branches of commercial banks

Currency Chests:- RBI has authorized select commercial Bank branches to establish currency chests, which would act as storehouses for banknotes and rupee coins on behalf of RBI. These chests branches are expected to distribute banknotes and rupee coins to other bank branches in their area of operation.

Soiled and Mutilated Notes

Soiled Notes:- Soiled notes are those notes become dirty, slightly cut in the denomination of Rs. 10 and above, which are in two pieces. However, the cut should not pass through the number panels

Soiled notes can be exchange at

Public sector bank (PSB)

Currency Chests

Issue office of

RBI

Notes that, there is no need to fill any type of form to exchange Soiled Notes. Also notes that the exchange is in full value, meaning you will get the whole amount of the soiled notes in exchange

• Mutilated notes are exchange at the same place

described above (for soiled notes), without filling any type of form.

• However, notes that are exchange value can be in full or part, according to RBI (note refund) rules. (depending on the mutilation notes, you will get the value)

• Also, there is another exchange facilities for mutilated notes, referred to as Triple Lock Receptacle (TLR)

(Put the mutilated notes in a TLR cover along with details, and deposit in the TLR box at RBI Issue Office. Amount will be returned by means of a bank draft or pay order)

Mutilated Notes:-Mutilated notes are those notes are in pieces(more then two). Essential portion are missing. Essential portion are –name of issuing authority, guarantee, promise clause, signature, Ashoka Pillar emblem/ portrait of Mahatma Gandhi, water mark.

Reference

www.RBI.org.in

www.google.com

www.indiancurrencies.com

Handle the currency carefully

And Be a proud Indian