Lok Sabha Question No. 3431 (UNSTARRED), answered on 2019-12-09
Subject: Circulation of Currency
Ministry: FINANCE
Asked by: Sajda Ahmed

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF ECONOMIC AFFAIRS

## LOK SABHA UNSTARRED QUESTION NO. 3431

TO BE ANSWERED ON MONDAY, DECEMBER 9, 2019 /AGRAHAYANA 18, 1941 (SAKA) CIRCULATION OF CURRENCY

## 3431: SHRIMATI SAJDA AHMED:

Will the Minister of FINANCE be pleased to state:

- a) whether the Government has assessed the impact of digital push for the past one year and if so, the details thereof;
- b) whether  currency  notes  in  circulation  increased  Post-demonetisation  compared  to  Predemonetisation and if so, the details thereof;
- c) whether the Government proposed total elimination of cash from the market and if so, the details thereof along with the amount of fake currency recovered after demonetisation; and
- d) whether the Government has taken note of the fact that non-availability of Rs.1000 currency causes problem to the citizens and if so, the measures taken in this regard?

## ANSWER

## MINISTER OF STATE (FINANCE) (SHRI ANURAG SINGH THAKUR)

- (a): Ministry of Electronics and Information Technology has informed that no formal assessment to  measure  the  impact  of  digital  India  programme  has  been  conducted  by  them.    However,  the statistics  of  e-transactions  on  e-Taal  platform  gives  an  indication  of  increase  in  digital  penetration and usage of e-Government tools in India. More than 1454 crore e-transactions have been recorded for 3,702 services since January 2019.
- (b): The  value  of  total  notes  in  circulation  as  on  March  31,  2016,  March  31,  2017,  March  31, 2018 and March 31, 2019 is as under:

(Value in Rs. Billions)

|                                         | 31.03.2016   | 31.03.2017   | 31.03.2018   | 31.03.2019   |
|-----------------------------------------|--------------|--------------|--------------|--------------|
| The value of total notes in circulation | 16,415       | 13,102       | 18,037       | 21,109       |

(c):  No such proposal regarding total elimination of cash from the market is under consideration of the  Government.    A  Statement  indicating  details  regarding  amount  of  counterfeit  currency  notes recovered after demonetisation is at Annexure.

- (d) The Indian economy has already adjusted itself to the new scenario where the earlier series of Rs.500 and Rs.1000 had ceased to be a legal tender and fresh series of Rs.500 were issued and a new denomination of Rs.2000 has been introduced.

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## Statement referred to in reply to part (c)  of Lok Sabha Unstarred Question No.3431 for 09.12.2019

| Denomination-wise Counterfeit Notes Detected in the Banking System (April-March)   | Denomination-wise Counterfeit Notes Detected in the Banking System (April-March)   | Denomination-wise Counterfeit Notes Detected in the Banking System (April-March)   | Denomination-wise Counterfeit Notes Detected in the Banking System (April-March)   | Denomination-wise Counterfeit Notes Detected in the Banking System (April-March)   |
|------------------------------------------------------------------------------------|------------------------------------------------------------------------------------|------------------------------------------------------------------------------------|------------------------------------------------------------------------------------|------------------------------------------------------------------------------------|
|                                                                                    |                                                                                    |                                                                                    |                                                                                    | (No. of pieces)                                                                    |
| Denomination (₹)                                                                   | 2016-17                                                                            | 2017-18                                                                            | 2018-19                                                                            | 2019-20*                                                                           |
| 1 2 and 5                                                                          | 2                                                                                  | 3                                                                                  | 4                                                                                  | 5                                                                                  |
|                                                                                    | 80                                                                                 | 1                                                                                  | 0                                                                                  | 2                                                                                  |
| 10                                                                                 | 523                                                                                | 287                                                                                | 345                                                                                | 464                                                                                |
| 20                                                                                 | 324                                                                                | 437                                                                                | 818                                                                                | 264                                                                                |
| 50                                                                                 | 9,222                                                                              | 23,447                                                                             | 36,875                                                                             | 22,784                                                                             |
| 100                                                                                | 177,195                                                                            | 239,182                                                                            | 221,218                                                                            | 86,253                                                                             |
| 200                                                                                | -                                                                                  | 79                                                                                 | 12,728                                                                             | 14,775                                                                             |
| 500 (MG series)                                                                    | 317,567                                                                            | 127,918                                                                            | 971                                                                                | 3                                                                                  |
| 500 (New design)                                                                   | 199                                                                                | 9,892                                                                              | 21,865                                                                             | 13,959                                                                             |
| 1000                                                                               | 256,324                                                                            | 103,611                                                                            | 717                                                                                | 5                                                                                  |
| 2000                                                                               | 638                                                                                | 17,929                                                                             | 21,847                                                                             | 7,435                                                                              |
| Total                                                                              | 762,072                                                                            | 522,783                                                                            | 317,384                                                                            | 145,944                                                                            |
| Source: RBI.                                                                       | Source: RBI.                                                                       | Source: RBI.                                                                       | Source: RBI.                                                                       | Source: RBI.                                                                       |

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