Page 10 - Banking Finance December 2018

B N

Reser e Ban ata ost of pro tion of s a er rren notes hi her
o nters RB ai re it than a e
Reser e Ban of ndia in a R er has said the se in price of c rrenc notes
to s a fir s
aries et een Rs. .7 and Rs. . for ario s
Reser e Ban of ndia in a state ent
deno inations. he se in price ref ects cost of
recent said
prod ction p s ar in. he RB recei es notes
that there is no
fro fo r c rrenc note printin presses.
si n of a i idit
Bharti e Reser e Ban ote M dran t td
cr nch t its
BRB M a ho o ned s sidiar of the Re
atest data
ser e Ban of ndia has sed the ord se in price for i in infor ation a o t
sho s that an s credit o tstandin
the cost of prod ction. o of the c rrenc note printin presses are o ned
to the Micro a and Medi n
the o ern ent of ndia and t o are o ned the Reser e Ban ndia thro h
terprises M M s sector has seen a
its ho o ned s sidiar BRB M .
contraction for the first ti e in
onths in epte er 2 . his is n a rep on March 2 7 the o ern ent had infor ed the Ra a a ha
that the appro i ate cost of printin each ne c rrenc note is in the ran e of
the onth e an defa tin
Rs.2. 7 . for a Rs. note and Rs. . .77 for a Rs.2 note. hese fi
on its o tstandin d es.
res are re ated to fisca ear 2 7. ince a ran e has een i en it co d
ccordin to RB data hi e the
ean that t o or anisations ith t o presses each s pp in c rrencies ha e
o era an credit o tstandin and
different cost of prod ction for printin notes in the ario s deno ination.
that to the ind str se ent re
he R app ication a so as ed a o t a era e ife of c rrenc notes in ario s
. per cent and 2. per cent re
deno inations to hich the RB said he a era e ife span of an note de
specti e in epte er 2 o er
pends pon an factors inc din re iona di ersit seasona effects deno i
epte er 2 7 the credit o t
nation of notes and e chan e of notes.
standin to the M M sector hich
acco nts for a o t per cent of he RB in its nn a Report for 2 7 had said that e pendit re inc rred
an fact rin o tp t in the co ntr on the printin of note ca e do n fro 2 7. or the ast fisca the a o nt
and near per cent of the tota as Rs. 2 crore as a ainst Rs.7 crore d rin the ear efore. n fact
e ports contracted . per cent the RB has to spend ore in 2 7 eca se of de onetisation. rin that
d rin the onth. ear t o t pes of Rs. note ere printed eside note in the deno ination of
Rs. and Rs.2 .
RB eases B nor s for
BRB M has presses at M sore o thern ndia and a oni astern ndia .
infrastr t re reation he o ern ent o ned presses are at asi estern ndia and e as en
tra ndia and these are operated ec rit rintin and Mintin orporation
Reser e Ban has i era ised nor s
of ndia td . part fro these there are fo r ints for coins. hese are ocated
o ernin forei n orro in s for in
at M ai dera ad a c tta and oida and operated the o ern ent.
frastr ct re creation in cons tation
ith the o ern ent . he ini
a era e at rit re ire ent for RB ane Be ins a Meet on nterest Rate
e terna co ercia orro in s he si e er Monetar o ic o ittee M headed RB o ernor
Bs in the infrastr ct re space r it ate e an its three da po ic re ie de i erations on Monda a id
raised e i i e orro ers has een e pectations of stat s o on interest rate. perts are of the ie that the
red ced to three ears fro fi e RB a not chan e the ench ar endin rate repo despite oderation in
ears ear ier a notification said. d econo ic ro th and easin inf ation. n its ast i onth onetar po ic
ditiona the a era e at rit re the RB had ept the repo rate at hich RB ends to other an s nchan ed
ire ent for andator hed in at . per cent ith arnin that o ati e and risin oi prices and ti htenin of
has een red ced to fi e ears fro o a financia conditions pose s stantia ris s to the ro th and inf ation. he
ten pre io s the centra an an
M eet i contin e ti ece er . he decision of the M i e p aced
no nced.
on the RB s e site in the afternoon of ece er .

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