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Exchange of Torn Currency

Reserve Bank of India (RBI) has informed that presently the facility of distribution of currency notes and coins through its counters against soiled/torn currency is being extended to the public. Bank notes and coins are distributed in exchange through counters of 19 Regional Offices of RBI and currency chest/bank branches. Public can also tender their torn/soiled currency in Triple Lock Receptacle (TLR) covers to the issue offices of RBI at 19 locations, the value of which is remitted to their bank account/address at a later date. All bank branches have been instructed to extend this facility to the members of public vide instructions dated January 28, 2013.

In the Annual Monetary Policy Statement (AMPS), 2012-13 announced on April 17, 2012, it was indicated to channelize the distribution of bank notes and coins only through currency chests/bank branches. RBI™s reach with its presence restricted to just 19 centres is quite limited and commercial banks with their vide network of branches are better positioned to meet the requirements of common persons relating to currency and coins. The rationale behind the proposed move is to better serve the interest of the common person. However, RBI will continue to manage the distribution of bank notes and coins through the currency chests and bank branches.

This was stated by Minister of State for Finance, Shri Namo Narain Meena, in written reply to a question in the Lok Sabha today.

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Tags: Annual Monetary Policy StatementBanknoteCurrencyIndiaLok SabhaMonetary policyrbiReserve Bank of India

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