Volume of INR 500 fake currency notes detected up in FY23, says RBI

The number of counterfeit currency notes of INR 500 denomination detected by the banking system, rose by 14.6 per cent to 91,110 pieces in 2022-23 compared to last year, according to the Reserve Bank of India's annual report released on Tuesday.

NEW DELHI/ CHENNAI — The number of counterfeit currency notes of INR 500 denomination detected by the banking system, rose by 14.6 per cent to 91,110 pieces in 2022-23 compared to last year, according to the Reserve Bank of India's annual report released on Tuesday.

[bsa_pro_ad_space id=1]

At the same time, the number of counterfeit notes of INR 2,000 denomination detected by the system, fell by 28 per cent to 9,806 pieces during the same period.

Although the total number of Fake Indian Currency Notes (FICNs) detected in the banking sector declined to 2,25,769 pieces in 2022-23 from 2,30,971 pieces in the previous fiscal year, it is noteworthy that it had surged in 2021-22.

The RBI's annual report also highlighted an 8.4 per cent rise in counterfeit notes detected in the denomination of INR 20, and a 14.4 per cent increase in INR 500 (new design) denomination.

On the other hand, counterfeit notes detected in INE 10, INR 100, and INR 2,000 denominations fell by 11.6 per cent, 14.7 per cent, and 27.9 per cent, respectively.

According to RBI, during FY23 the number of fake notes detected in the denominations of INR 10 were 313 pieces, INR 20- 337 pieces, INR 50 - 17,755 pieces, INR 100 - 78,699 pieces INR 200 - 27,258 pieces, INR 500- 91,110 pieces, INR 500 (specified banknotes - 6 pieces), INR 1,000 (specified banknotes -482 pieces).

The total expenditure incurred on security printing during 2022-23 was INR 4,682.80 crore as against INR 4,984.80 crore in the previous year.

"The Reserve Bank is actively taking forward the process of introduction of new/upgraded security features for banknotes," the annual report notes.

During the year, the Indian central bank will focus on the following:

- Preparation of an implementation programme based on the recommendations of the report on currency network design, mechanisation and automation, and scheduling and inventory management, for achieving higher efficiency in currency management;

- Establishment of a state-of-the-art facility for conducting cutting edge research on banknotes;

- Conducting survey on quality of notes in circulation;