New Delhi, July 18 (IANS): India has taken its first formal step towards introducing polymer banknotes, with Bharatiya Reserve Bank Note Mudran Private Limited (BRBNMPL), the Reserve Bank of India’s currency printing arm, inviting global Expressions of Interest (EoIs) for the supply of polymer substrate sheets embedded with security features. Eligible domestic and international manufacturers have been asked to submit bids by August 18 for the production of opacified polymer substrate sheets used in banknote printing. While the tender does not specify the denominations proposed for polymer notes or a timeline for their rollout, the move signals the beginning of the evaluation and procurement process for a potential shift from traditional paper currency to polymer-based notes.
If introduced, polymer banknotes would represent a significant change in India’s currency system, which has relied on specialised paper notes for nearly a century. Polymer notes, made from durable plastic films, are generally more resistant to wear and tear and have a longer circulation life than conventional paper currency. The tender also includes strict national security provisions, requiring bidders to obtain government security clearance, isolate any operations in China or Pakistan from the India contract, avoid sourcing raw materials for India’s banknote substrates from those countries, and ensure that India-specific substrates are not supplied to third countries. RBI Governor Sanjay Malhotra had earlier stated in June that the central bank is examining the advantages and challenges of polymer currency, adding that the proposal remains at a preliminary stage and no final decision has yet been taken.