Govt Introduce Plastic Currencies

''Govt may introduce plastic currency to counter fake notes''

Ranchi, Dec 14 (PTI) The Government is seriously considering opening of plastic currency notes in the country to check the threat of fake notes, RBI Governor D Subbarao said here today.

"We are seriously considering introduce plastic currency notes in the Indian economy to check the fake currency problem and also for their longevity," Subbarao said while interacting with students of Ranchi University.

"We will also take into consideration the experience of countries like Australia and New Zealand who have been using plastic notes," he said.

The problem of fake currency notes being circulated has been affecting the economy and the RBI was taking steps to check it, he said.

The RBI, Subbarao added, was consulting other banks of the country and the Centre on the ways to check the problem.

When a student pointed out that fake currency notes were being distributed even through bank ATMs, he said the RBI was preparing stringent standards in this regard and very soon they would be implemented.

Subbarao said the RBI was focusing on inclusion of the rural economy into the banking system as it was imperative for faster growth of the country''s economy.

"RBI is organising several outreach programmes in association with other banks to reach the rural population and the objective is to provide core banking facilities in all the panchayats of the country," Rao said in reply to another query by a student.

The Indian economy, he added, was fast growing and with the inclusion of rural population, it would even surpass Chinese economy.

Subbarao, who is on a two-day trip to the state to popularise rural banking, attended a high-level meeting here later in the evening, where Jharkhand Chief Minister Arjun Munda, chief secretary A K Singh and other senior officials were also present.