BANKING AFFAIRS

Detailed explanation-1: -The Reserve Bank estimates the volume and value of notes to be printed in a year based on the above factors as well as feedback received from its own Regional Offices and banks regarding expected demand for cash and finalises the same in consultation with the Government of India and the printing presses. 12.

Detailed explanation-2: -The Reserve Bank of India (RBI) prints and manages currency in India, whereas the Indian government regulates what denominations to circulate. The Indian government is solely responsible for minting coins. The RBI is permitted to print currency up to 10, 000 rupee notes.

Detailed explanation-3: -After getting checked with Inflation, GDP, and clearance of old notes, The Issue department, and Management department of RBI will come with an estimate of the currency required and put the demand sheet in front of the central government for approval.

Detailed explanation-4: -Who decides on the figure to be printed on a new banknote? As per Section 25 of the Reserve Bank of India (RBI) Act, the central government approves the design, form, and material of bank notes following recommendations made by Central Board.

Detailed explanation-5: -The Department of Currency Management has the responsibility of administering the functions of currency management, a core function of the Reserve Bank in terms of the Reserve Bank of India Act, 1934. Currency management essentially relates to issue of notes and coins and retrieval of unfit notes from circulation.