The Reserve Bank of India will likely roll out pilot polymer ₹10 and ₹20 notes on April 1, 2027. These notes will keep existing dimensions to help banks avoid ATM reconfiguration costs. A senior official said, "Retaining the existing dimensions will help banks avoid upfront capital expenditure on ATM reconfiguration."

The Reserve Bank of India (RBI) is likely to roll out its pilot polymer currency on April 1, 2027, with dimensions of existing ₹10 and ₹20 banknotes unchanged. According to a report by Moneycontrol, the decision to keep the dimensions unchanged would benefit banks as they won't have to spend extra on reconfiguration of their ATMs.

"Retaining the existing dimensions will help banks avoid upfront capital expenditure on ATM reconfiguration. Since the programme will initially be a pilot covering smaller denominations, the savings could be substantial," a senior official of a state-owned bank told Moneycontrol.

Polymer notes

In August, Reserve Bank of India Governor Sanjay Malhotra had highlighted the longevity of polymer currency notes. Malhotra pointed out that the polymer currency notes have lasted for over 30 years in some jurisdictions and will come in handy, especially for the lower denomination notes which have high velocity.

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"We are targeting that they are in circulation, if everything goes as per plan, in the beginning of the next financial year," Malhotra had said.

In July, the Bharatiya Reserve Bank Note Mudran Private Limited (BRBNMPL) -- a wholly-owned subsidiary of the Reserve Bank of India (RBI) -- issued a global Expression of Interest (EOI) to identify and shortlist established manufacturers of opacified polymer substrate sheets with security features suitable for printing Indian banknotes.

The RBI proposed to introduce 2 billion polymer notes -- 1 billion each of ₹10 and ₹20 -- for field trials. The exercise is intended to test durability, handling, public acceptance, and operational feasibility before any decision on wider issuance is taken.

It should be noted that the polymer notes are being introduced as a field trial and are not intended to replace the existing paper currency. The government has also clarified that polymer notes, if eventually issued, would circulate alongside paper-substrate notes.

No new denominations

Currently, there are also no proposals to introduce polymer notes in higher denominations. Earlier this week, the government issued a clarification after posts on social media claimed that new ₹1000 polymer notes have been issued.

"Several social media posts claim that a new ₹1,000 note has been issued," PIB FactCheck said in a post.

This claim is fake. The RBI has made no announcement regarding the issuance of a new ₹1,000 note," the agency added.