Mumbai: The Reserve Bank of India (RBI) has announced that it will soon issue Rs 100 and Rs 200 denomination banknotes featuring the signature of its newly appointed Governor, Sanjay Malhotra. The move is a routine measure undertaken by the central bank whenever a new governor assumes office.
Design and Features Unchanged
According to the RBI’s official statement, these new banknotes will maintain the existing design of the Mahatma Gandhi (New) Series. There will be no alterations to security features, colour schemes, or dimensions, apart from the updated signature of the new governor. The RBI periodically updates currency notes in this manner to ensure seamless transitions in the financial system.
No Impact on Existing Banknotes
The central bank has reassured the public that all previously issued Rs 100 and Rs 200 banknotes will continue to be legal tender. This means there is no need for individuals or businesses to exchange older notes, as they remain valid for all transactions. The move is merely an administrative update rather than a change in the currency system.
Significance of Governor’s Signature on Banknotes
The Governor of the RBI is the sole signatory on Indian banknotes, a practice rooted in the Reserve Bank of India Act, 1934. The presence of the governor’s signature signifies the central bank’s commitment to honoring the value of the note. Over time, whenever a new governor takes charge, the RBI follows this practice of issuing fresh notes bearing their signature.
Transition in Leadership at the RBI
Sanjay Malhotra assumed office as the Governor of the Reserve Bank of India in December 2024, succeeding Shaktikanta Das, who completed his extended tenure. Malhotra, an experienced bureaucrat and financial expert, was previously the Secretary of the Department of Financial Services in the Ministry of Finance. His appointment as RBI Governor is expected to shape the central bank’s policies in the coming years, particularly in areas like inflation control, digital payments, and financial inclusion.
Routine Currency Updates and Stability
The issuance of new banknotes is part of the RBI’s broader responsibility of maintaining confidence in India’s monetary system. Regular updates ensure that the public can trust the authenticity of currency while keeping banking operations smooth. As India moves towards greater financial digitization, physical currency circulation remains crucial for various sectors of the economy.
The RBI has not specified an exact date for the release of these updated banknotes, but they are expected to be circulated shortly.
