Raghuram Rajan, the Governor of the Reserve Bank of India (RBI) on 15 May 2014 announced that plastic currency notes will be launched in 2015 after field trials. He said it after the Central Board of Directors of the RBI Meet in Shimla, Himachal Pradesh.
Earlier in February 2013, Union Government had informed Parliament that it will introduce one billion plastic currency notes in five cities in later half of 2014 on a pilot basis. The five selected cities for pilot testing are Shimla, Kochi, Mysore, Jaipur, and Bhubaneswar.
The introduction of Plastic currency notes would help stop counterfeiting of Indian rupees as they are difficult to imitate. Also, Plastic currency notes with an average life span of about five years are cleaner than paper notes.
About Plastic Currency Notes
Modern plastic currency notes were first developed by the Reserve Bank of Australia (RBA), CSIRO and The University of Melbourne to safeguard counterfeiting the currency.
They were first issued as currency in Australia in 1988. In 1996 Australia switched completely to plastic currency notes.
Countries that have since switched completely to plastic currency notes include Brunei, New Zealand, Papua New Guinea, Romania, Vietnam, Fiji, Mauritius (printed by De La Rue), Canada and Israel.
Where: in Shimla
When: on 15 May 2014