The Reserve Bank of India considers launching plastic-made notes

Hello, how are you all, hope you are well. In today's blog we will know about The Reserve Bank of India considers launching plastic-made notes, July 26, 2026

The RBI to hold bidding for the note-making tender by the 18th of August

Recently, the Governor of the Reserve Bank of India has considered the production of ₹10 and ₹20 polymer (plastic) notes to be circulated in India to test out their effect and usefulness in the nation. By the year 2027, all the changes would be made. This will make in the list of countries that are using polymer-based currency. The bill was passed by the Bharatiya Reserve Bank Note Mudran Private Limited (BRBNMPL), which was later taken into consideration. As a result, there has been a call for domestic as well as international companies to submit bids for the tender for polymer notes production.

Although it will not be easy to apply for the tender, as the RBI has fixed strict eligibility criteria for the same. The conditions required consist of a company being verified by the Government of India and that the company should have no real link with the nationals of Pakistan and China, even in the import of raw materials. Other than this, if a company is of any nation that shares a border with India, they are to register themselves first and then be verified separately by the Government of India. Other than this, the company filing for the tender should also have at least3 years of experience with the production of materials from polymers.

If the procedure runs smoothly, the RBI would be, for the first time in around a century, changing the material of their notes since their formation in 1935. The need for these notes is because of the different inherent quality from the current paper notes. These notes are claimed to be more durable, lightweight, and suitable for the Indian climate and would not be damaged easily even with water and stains, which is a common occurrence.

They are also said to be more secure, as copying them is not easy due to their transparent nature and metal linings that would be inside the RBI-approved notes. The Reserve Bank of Australia was the first to use the polymer made notes in the year 1988 that too starting with the $10 note.