New Delhi: The Reserve Bank of India (RBI) is set to modernize its currency management infrastructure over the next 4-5 years. The proposed upgrades include establishing new currency management centers, automating warehouses, enhancing security, and introducing a centralized command center for smoother operations.
In its recently issued expression of interest (EOI) for consultancy and project management services, the RBI emphasized the need to improve the efficiency of cash handling and storage as India’s economy grows. The central bank acknowledged that while the growth rate of Notes in Circulation (NIC) has slowed in the past three years, the demand for cash is expected to continue, albeit at a slower pace.
The revamp is crucial to meet the future demand for currency, ensuring that sufficient cash is available and accessible to the public. The RBI’s plan focuses on long-term improvements, aiming to address the increasing volume of currency in circulation while improving overall operational efficiency.
The central bank also highlighted the importance of boosting security measures to safeguard the currency management process as part of its modernization efforts. The project reflects the RBI’s strategy to balance the continued reliance on cash with the growth of digital payments.
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