Indian Economy is in major transformation since 2014. As Prime Minister Narendra Modi said, “We don’t need reforms but we need transformation”. On November 08, 2016, the government quashed 500 and 1000 rupee note from legal tender. On the same day of demonetization, the government introduced two new notes of 500 and 2000 rupee. According to the latest reports, Reserve Bank of India has approved introduction of 200 rupees note.
Details about the News:
A meeting of 14 people of the board chaired by RBI governor Urjit Patel approved introduction of 200 rupees note on March this year. Though there is no official statement by the RBI yet major media houses have reported on it. The meeting chaired by Urjit Patel approved to introduce 200 rupees note with new designs and upgraded security features.
The printing may start from June, 2017 after the government approves this. The reason cited by the RBI employee was to heal the paucity of lower denomination notes. Certainly every person would have experienced the problem while using 2000 rupees notes as it becomes difficult to get change of 2000 notes.
Speculations Regarding the Introduction of 200 Rupees Note:
Major speculation regarding the introduction of 200 rupees note can be the future demonetization of 100 rupees note. One cannot doubt the great skills of Pakistan in doing all sinful works; Pakistan has illegally supplied counterfeit notes of all major denominations like 50, 100, 500, 1000 and even the new currency notes. The RBI has also suggested changing the designs and features of the notes every 2-4 years for security reasons.
The 100 rupee note may soon be demonetized just like the 500 and 1000 rupees note and 200 rupee note maybe introduced. The new 200 rupees note will help in coping up with paucity of lower demonetization notes. 13.12 trillion rupees is in circulation since demonetization which is lower than pre demonetization.
Introduction of 200 rupees note may benefit the people as people have to struggle in order to use 2000 rupees notes as there is scarcity of lower denomination notes. Well after the introduction of 2000 rupees notes, one cannot say that 200 rupee note will lead to corruption but yes it can. Overall, it seems to be an interesting move by the government and RBI which can have broader significance. Let’s see what’s next!