Indian currency is called as the Indian rupee and coins are
called as paise. The currency consists of all the bank notes issued by the RI
and one rupee coin and notes issued by the central government of India. At
present the denominations which are issued are of Rs10, Rs 20, Rs50, Rs 100,
Rs500, Rs 1000. However notes of Rs5000 and Rs 10000 can also be printed under
the RBI Act.
The main features of currency in India are:
- Coins: The coins are token coins and their face value is higher than their intrinsic value. The responsibility of coinage is vested with the Govt. of India as per the coinage act 1906. It decides the quantity of coins to be minted. The rupee and half are termed to be unlimited legal tender while all others are limited ones. At present, the denomination of 1, 2,5,10 coins are presently in circulation.
- Currency notes: Except one rupee note, all other notes are issued by the RBI under the section22 of RBI act which maintains another department for issue of notes.Currency chests are the storehouses where bank notes and rupee coins are stocked. It has been set up with SBI and its associate banks, nationalized banks, cooperative bank, RRB and a foreign bank. There are a total of 4181 currency chest and 3552 small coin depots.
