How is a Re 1 note different from other currencies?
After a hiatus of 22 years, Re 1 note will resurface in a brand new avatar. The existing currency notes, of this denomination, are still legal tenders, and you may just want to hold onto it as memorabilia or put it up for auction and get good money. But, the pertinent question is - how is a Re 1 note different from other currencies?
It is going to be printed by the central government
This is the only note that is going to be printed by the Central government under the Coinage Act, 2011 and will have 'Bharat Sarkar' on its masthead; other notes are issued by RBI. These new notes will have the signature of Rajiv Mehrishi, who used to be the Finance Secretary at that time and Economic Affairs Secretary Shaktikanta Das, who is retiring today.
Why were they stopped?
This is a revival of sorts; the government had stopped printing Re 1 note in 1994 and Rs. 2 and Rs. 5 notes the following year, to free up printing facilities for notes of higher denomination. Although, all these notes rarely surface these days and what we usually get to see are coins; they are still legal tenders.
Third one after demonetization
This will also be the third currency note to release after PMO's demonetization drive last year to curb black money. During that period the central bank had withdrawn Rs. 1,000 notes and the then prevalent Rs. 500 note from circulation and released brand new Rs. 500 and Rs. 2,000 currency notes to the public, which are currently doing rounds.
The printing had already started since 2015
The government had started printing these notes way back in 2015, when it was found that people were melting coins and making a profit out of it, resulting in an acute coin shortage. But their release was halted as central bank posed the question - if the government actually had the right to issue notes; the law ministry said it did.
Why is it still viable?
Although the new note costs the taxpayer 94 paise, whereas the coin costs 70 paise; this will help in remedying the problem noticed till date of melting coins for profit. It has a pink and green colour theme, while the erstwhile was indigo coloured and will sport a replica of the one rupee coin with an image of the 'Sagar Samrat' oil exploration rig.
More than its face value
If you have an old Re 1 note tucked away somewhere, congrats you are rich; apparently, these notes, signed by former Prime Minister Manmohan Singh who also served as a Union finance secretary and by Montek Singh Ahluwalia, can fetch you a tidy sum. Numismatists are constantly on the lookout and a bundle of them can go for a whopping amount.
