RBI Issues New Currency Guidelines For 2025: Enhanced Security Features To Curb Counterfeiting

The Reserve Bank of India (RBI) has introduced new guidelines and design changes for Indian currency notes in 2025, aimed at tightening security against counterfeit money and promoting digital transactions. According to official releases, the updated currency design includes new security features and governor signatures, and will apply to notes in denominations of ₹10, ₹20, ₹50, ₹100, and ₹500.

Key Policy Objective

The central bank stated that these changes are part of a broader initiative to modernize India’s currency system, enhance detection of fake notes, and make cash transactions safer. All banks and ATMs will now begin dispensing the updated notes, while older currency will remain valid until its gradual withdrawal from circulation by September 30, 2025.

Major Design and Security Modifications

Feature	Description
Micro Lettering & Watermarking	Finer micro letters and an advanced watermark featuring Mahatma Gandhi’s portrait and visible denominational numerals under light have been added.
Color-Changing Ink	A special optically variable ink that shifts color from green to blue when tilted will now appear on ₹100 and above denominations.
Security Thread	A machine-readable, windowed security thread fluorescent under ultraviolet light has been included in ₹10–₹500 notes.
Raised Intaglio Printing	Key parts such as the RBI seal, denomination numeral, and identification marks for the visually impaired will be embossed for better recognition.
Latent Image & Serial Number Pattern	A hidden denomination value is embedded above the Ashoka Pillar emblem, visible only under specific light angles. Number panels now feature ascending size digits for authentication.
Bleed Lines for the Visually Impaired	The redesigned banknotes include angular bleed lines (4 in ₹100, 5 in ₹500) to assist visually impaired individuals.

Guidelines for Old Notes

Old ₹500 and ₹100 notes can be deposited in banks until September 30, 2025.
Government-issued identification will be required for exchanging notes.
Cash transactions above ₹10,000 should be avoided to encourage digital payments.
Citizens are advised to immediately report any suspected counterfeit currency to nearby banks or police stations.

RBI’s Broader Anti-Fraud Initiative

The RBI clarified that this currency update aligns with its master direction on Counterfeit Note Detection, Reporting, and Monitoring (April 2025), which mandates stricter screening and machine-based authentication of cash deposits across Indian banks.

Conclusion

By embedding multilayered anti-counterfeiting technology and standardizing note designs, the Reserve Bank aims to curb the spread of fake currency, strengthen public confidence in cash transactions, and seamlessly transition India toward a more tech-enabled financial ecosystem. All existing notes will continue to be legal tender until their phased withdrawal later this year.