Govt to conduct field trial of plastic notes in 5 places


The government is set to conduct a field trial of plastic notes that it proposes to introduce. Initially a field trial had been undertaken at Kochi, Mysuru, Jaipur, Shimla and Bhubaneswar. The trial would now be conducted in five more locations. It was decided that plastic notes would be introduced in the country soon.

Advertisement

The process had begun after the government announced in the Parliament about the decision in December. In the Parliament the government said, "it has been decided to print banknotes based on plastic or polymer substrate (commonly used for banknotes in countries such as Nigeria, Chile, Nepal among others).

Rs 4 Crore Cash Seizure Case: BJP Leader Nainar Nagendran To Appear Before TN Police On May 2

"The process of procurement has been initiated," Minister of State fo Finance Arjun Ram Meghwal had said in a written reply in Lok Sabha.

Advertisement

Plastic notes were first issued in Australia to safeguard against counterfeiting.

Here are the pros and cons of plastic notes:

The pros:

Explained | Who Is Karen McDougal, Key Witness In Trump's Hush Money Trial?

  • Hard to counterfeit as security features are easier to verify
  • Plastic notes last longer reducing replacement cost
  • Notes are clearer because they are dirt and moisture resistant
  • Notes are waterproof
  • Environmental impact lower as notes last longer.

The cons:

Advertisement
  • Higher production cost
  • Difficult to fold
  • Hard to count as they are slippery
  • Huge cost to recaliberate ATMs as existing machines are not compatible

OneIndia News

Advertisement