BANKING AFFAIRS

Detailed explanation-1: -On 2nd March 1906, the Indian coinage act was passed to amend and consolidate the laws related to coins and mint. The RBI has the sole right to issue currency under the provisions of the reserve bank of India act 1934 while the coins are minted as per the coinage act.

Detailed explanation-2: -The Government of India has the sole right to mint coins. The responsibility for coinage vests with the Government of India in terms of the Coinage Act, 1906 as amended from time to time. The designing and minting of coins in various denominations is also the responsibility of the Government of India.

Detailed explanation-3: -ACT NO. 3 OF 1906 1 [ 2nd March, 1906.] An Act to consolidate and amend the law relating to Coinage and the Mint. 1.

Detailed explanation-4: -In respect of coins, the role of RBI is limited to distribution of coins that are supplied by Government of India. The Government of India is responsible for the designing and minting of coins in various denominations as per the Coinage Act, 2011.

Detailed explanation-5: -Coins up to 50 paise are called ‘small coins’ and coins of Rupee one and above are called ‘Rupee Coins’. Coins can be issued up to the denomination of ₹1000 under The Coinage Act, 2011.