RBI to launch enhanced security banknotes to curb counterfeits mid-2026
Business
The Reserve Bank of India (RBI) is set to launch banknotes with enhanced security features from mid-2026.
This update comes as cash use keeps climbing, especially among individuals and small businesses, and aims to make notes last longer while fighting back against a modest rise in fake currency.
Counterfeits rise as RBI tests varnish
With 500-rupee notes now making up most of the cash in circulation, fake versions have jumped by over 20%, rising 20.5% to 141,907 counterfeit ₹500 notes in FY26 (year to end-March 2026).
To tackle this, RBI has been testing varnished notes and has also developed antimicrobial and antibacterial treatments for currency paper and managed to cut printing costs by almost a quarter by ordering fewer new notes.