RBI selling banned notes to cardboard-making units

CHANDIGARH:Any guesses what the RBI will do with banned notes of Rs 500 and Rs 1,000.

sanjiv@tribunemail.com

Vijay C Roy

Tribune News Service

Chandigarh, September 11

Any guesses what the RBI will do with banned notes of Rs 500 and Rs 1,000. The central bank is selling these notes to cardboard and paper manufacturers. Earlier, the RBI used to burn old and soiled notes. 

The demonetised currency totalling Rs 15.44 lakh crore constituted 86% of India’s currency in value terms. Of this, Rs 500 notes constituted almost 45% of the currency in circulation while 39% of the notes were of Rs 1,000 denomination. The weight of the entire demonetised currency would be around 27,600 tonnes.

“We keep on destroying the soiled and mutilated currency. Though this time the quantum is huge, still whole demonetised currency will be disposed of in an environment- friendly manner,” said a senior RBI official.

Commenting on the procedure followed, he said, “The demonetised currency collected from the banks is processed through currency verification and processing system which has an ability to differentiate between real and fake notes. The notes are then shredded and converted into briquettes which are block of compressed waste. After converting it into briquettes, tenders are invited. We are selling those briquettes to cardboard and paper manufacturers.”

Top Stories

Highest ever single-day Covid spike in India with 1.84 lakh new cases

Highest ever single-day Covid spike in India with 1.84 lakh new cases

The death toll increases to 1,72,085 with 1,027 new fataliti...

CBSE exams: Modi to meet education minister, officials today

CBSE exams: Modi to meet education minister, officials today

Class 10 and 12 exams are set to begin from May 4

Capt writes to Centre seeking postponement of CBSE board exams

Capt writes to Centre seeking postponement of CBSE board exams

The Punjab Board has broadly aligned its examination dates w...

India under Modi more likely to respond with military force to Pak provocations: US intelligence report

India under Modi more likely to respond with military force to Pak provocations: US intelligence report

The Office of the Director of National Intelligence says thi...

China-India border tensions remain high despite some force pullbacks: US intelligence report

China-India border tensions remain high despite some force pullbacks: US intelligence report

The Office of the Director of National Intelligence says thi...

Cities

View All