BANKING AFFAIRS

Detailed explanation-1: -To whom do the currency notes deposited in the currency chest belong? Currency notes deposited in the currency chest belong to the Reserve Bank Of India.

Detailed explanation-2: -As per Section 26 of Reserve Bank of India Act, 1934, the Bank is liable to pay the value of banknote. This is payable on demand by RBI, being the issuer.

Detailed explanation-3: -The central bank stores excess money for banks and ATMs in such a Currency Chest. Such chests are held at the premises of select bank branches across India. Any money stored within a Currency Chest belongs to the RBI, and any money stored outside the chest in the bank belongs to the bank itself.

Detailed explanation-4: -The Reserve Bank is the nation’s sole note issuing authority. Along with the Government of India, we are responsible for the design, production and overall management of the nation’s currency, with the goal of ensuring an adequate supply of clean and genuine notes.

Detailed explanation-5: -Presently, the Reserve Bank issues banknotes in denominations of ₹2, ₹5, ₹10, ₹20, ₹50, ₹100, ₹200, ₹500 and ₹2000. Coins in circulation comprise 50 paise and ₹1, ₹2, ₹5, ₹10 and ₹20 denominations. VIII.