Did you know that the average cost of printing notes of each denomination differ? While it is Rs3.58 for a Rs 500 note, the cost of printing increases for a Rs 1,000 note and stands at Rs4.06.
According to a Right to Information reply by the Reserve Bank of India, it costs 50 paise for printing a currency note of Rs 5 denomination, Rs 1 (0.96 paise) for Rs 10, Rs 1.50 for a Rs 20 note. But, surprisingly, it costs more to print a Rs 50 note ( Rs1.81) than a Rs 100 note, which costs Rs 1.79, reports BusinessLine. Wonder why.
The RTI also indicated that small denomination bank notes have a lower average life than bank notes in higher denomination (Rs100, 500, 1,000).
In order to increase the life of the banknotes and reduce the cost of production and disposal, the RBI is conducting trials on 1 billion plastic and polymer-based notes to check the possibility of introducing plastic notes in India, said the report, adding that the trial will be conducted in five places, including Mysore, Kochi, Shimla, Jaipur and Bhubaneshwar.