RBI to Shortly Issue Rs. 500 Banknote in New Series

RBI to Shortly Issue Rs. 500 Banknote in New Series The Reserve Bank of India on December 19, 2016, announced that it is issuing a new batch of Rs 500 notes in Mahatma Gandhi (New) series with the inset letter R in both the number panels bearing the signature of Dr Urjit R Patel Governor, Reserve Bank of India, with the year of printing ‘2016’.Earlier, the Reserve Bank had also informed to issue Rs 500 notes in

Mahatma Gandhi (New) series with the inset letter E having star mark in both the number panels and Swachh Bharat logo printed on the reverse of the banknote. In a serially numbered packet, if any defect in any note is detected at the printing stage, the note is replaced at the note printing presses by banknotes having the same number so that the sequence of the packet is maintained.

As a part of the Bank’s ongoing efforts to benchmark its procedures against international best practices as also for cost effectiveness at printing presses, it has proposed STAR series numbering system for replacement of the defectively printed banknotes thus save time and cost. Packets with star series notes will have 100 pieces as usual but not in serial order.

v. The Star series notes will be legal tender and members of public may freely accept and use these notes. To facilitate easy identification of note packets containing ‘star’ notes, the bands on such packets will clearly indicate the presence of these notes in the packet.

vi. ‘Star’ banknotes in Rs 500 denomination are being issued for the first time. ‘Star’ banknotes in the denomination of Rs 10, 20, 50 and 100 are already in circulation.

vii. The central bank has also notified that it will shortly issue Rs 50 denomination banknotes in the Mahatma Gandhi Series-2005, with inset letter R and L in both the number panels bearing the signature of Urjit R Patel and the year 2016 printed on the reverse of the banknote.

viii. Meanwhile, the Central Bank has also imposed stiff restrictions on depositing more than Rs 5,000 in the scrapped Rs 500 and Rs 1,000 notes, mandating that it can be deposited only once per account till December 30 after explaining to bank officials the reasons for not having done that so far.