Plastic Currency Notes and their Advantages
The reserve bank of India is all set to introduce plastic currency notes in ten-rupee denomination. The bank has decided to introduce 1 billion of plastic currency notes If everything goes as planned, we Indians can use 10 Rs plastic notes from this December or from early next year.
Common people will get irritated by old notes, dirty notes and damaged (worn out) currency notes. Currency notes have got very important place in citizen’s life. So any decisions related to currency notes will directly affect citizen’s life. So people are ready to welcome plastic notes.
For the very first time, Australia started using plastic notes. Reserve bank of Australia joined Melbourne University and Commonwealth Science Research Centre and released first polymer or plastic notes in 1988. These notes are manufactured from Biaxially-Oriented Polypropylene (BOPP) films. These BOPP films have unique combination of properties such as better shrinkage, stiffness, transparency, sealability, twist retention and barrier. Now many countries like new Zealand, Romania, Bruni etc are using plastic notes and many other countries are experimenting on this.
Let us have a look at advantages of using plastic notes :
- The plastic bank notes would last longer by 4 years compared to one year for normal currency notes in addition to also being harder to counterfeit.
- It will remain clean compared to normal notes.
- People will go to banks to exchange old notes, dirty notes and damaged (worn out) currency notes. Banks have to utilize machines and manpower to handle these notes. Banks are using machines to separate good notes and damaged notes. These all are expensive and also waste of time for people as well as for banks. So if RBI introduces plastic notes, all these burdens will be reduced.
- The technology in printing plastic notes involves highly sophisticated processes. So it would be highly difficult to manufacture duplicate notes. Thus distribution of fake and duplicate currency notes can be controlled.
- They are considered as Eco friendly.
- Sometimes people write unnecessary things or slogans on notes. Currency notes lose their beauty if we write anything on them. Now we should not worry about this because we cannot write anything on plastic notes.
Among all denomination notes, 10 Rs notes are more in use and also production rate of 10 Rs notes is high. This is the main reason for RBI to choose 10 Rs note for experimental purpose. In the beginning, 10 Rs plastic currency notes will be introduced in five major cities of India. If this initial experiment becomes successful, then Rs 20 and Rs 50 plastic currency notes are introduced. First, RBI thought of printing these plastic notes outside India and then importing it. But now all facilities are made to print these notes in India.
So now we are joining the list of few countries that use plastic currency notes. We should feel proud about that. Fake currency printers should search for another job now J