Govt plans new facility to make currency paper

The Reserve Bank of India Governor D Subba Rao today said that the government and RBI are planning to set up a modern plant for producing currency paper in the country.

Speaking to media persons here on the sidelines of a function, the said that their is already a facility to manufacture currency paper in Hoshagabad but which uses old technology.

At present, the government is planning to set up a modern plant for production of currency paper, he said without eloborating.

Currently, the paper for printing of currency notes is imported. The governor's announcement of a new plant comes amid recent reports of fake currency notes being circulated in different parts of the country.

 

The governor indicated the quantum of fake notes presently is minuscle with 3 to 6 pieces per billion being fake.

He said RBI'S responsibility is to control the fake notes in the banking system. However there is a problem. There is a need to creat awareness, he said.