New Rs 200 currency notes will be issued by the Reserve Bank of India (RBI) August 25. The news was confirmed by RBI through a press release on Thursday morning. The release stated that the new Rs 200 banknotes will be in the Mahatma Gandhi (New) Series, bearing the signature of Dr Urjit R. Patel, Governor, Reserve Bank of India. Just like the new Rs 50 note, this too will have motif of Sanchi Stupa on the reverse, depicting the country’s cultural heritage.
The RBI has decided to keep the base colour of the new note as bright yellow. The note has other designs, geometric patterns aligning with the overall colour scheme, both at the obverse and reverse. In another press release, the RBI said this decision was taken keeping in mind factors like the ease of transactions for the common man and replacement of soiled banknotes. “Introduction of a new currency denomination and design is done keeping in consideration various factors like ease of transactions for the common man, replacement of soiled banknotes, inflation and the need for combating counterfeiting,” the statement read.
“The optimal system of denominations of currency (coins and notes) is one that would minimize the number of denominations and concurrently increase the probability of proffering exact change. So, what should be the optimal mix of currency denominations? Many countries have opted to use a near variation of the Renard Series, i.e., 1:2 or 1:2.5 ratio between adjacent denominations of currency, which means that the denomination should be twice or two and half times of its preceding denomination. Such a ratio allows exchange of value ordinarily in a maximum of three denominations. In India, we have currency denominations of Re 1, Rs 2, 5, 10, 20, 50, 100, 500 and 2000. As such, in the lower end of the denomination series, Rs 200 is the missing one,” it further said.
The new currency note is expected to ease the transaction process. The news comes just a few days after the image of new Rs 50 currency note was released by the RBI. The new Rs 200 note will help in day-to-day transactions and will replenish the reduction in Rs 500 notes following the demonetisation move by the Union government on November 8 last year.