Fake Currency News: Two-Fold Rise In Fake Rs 500 Notes; Fake Rs 2,000 Notes Up 50 Per Cent, Says RBI

RBI Report: According to the latest report by RBI, the fake currency in circulation has risen in the past year. Rs 500 note has taken the worst hit with over two-fold rise in the circulation of fake notes.

New Delhi: In the recently published Annual Report 2021-22, the Reserve Bank of India (RBI) has stated that the fake currency in circulation in India has been rising. The circulation of fake notes is particularly more worrying in Rs 500 notes. In the last one year, Rs 500 fake notes have risen by over 101.9 per cent. The circulation of Rs 2,000 notes has risen by over 54 per cent, the report stated. However, the report also said that 97 per cent of Indians can now correctly detect fake currency.

However, the number of fake Rs 100 and Rs 50 notes in circulation has fallen down. RBI wrote, “There was an increase of 16.4%, 16.5%, 11.7%, 101.9% and 54.6% in the counterfeit notes detected in the denominations of Rs 10, Rs 20, Rs 200, Rs 500 (new design) and Rs 2000, respectively. The counterfeit notes detected in the denominations of Rs 50 and Rs 100 declined by 28.7% and 16.7%, respectively.”

More Rs 500, Rs 2,000 notes in circulation

The report added that in terms of value, Rs 500 and Rs 2,000 notes together constitute 87.1 per cent of the total value of banknotes in circulation. Last year, this figure stood at 85.7 per cent. Rs 500 notes are the most widely circulated notes in the economy, constituting 34.9 per cent of all the notes. Rs 10 notes follow in the second spot with 21.3 per cent.

Rise in currency in circulation

RBI also noted that the cash is making a comeback in India. The currency in circulation is up by 5 per cent in volume and 9.9 per cent in value as compared to last year. This can be attributed to the second wave of the Covid-19 pandemic “which induced renewed restrictions on movement in various parts of the country”, the report added.