New Rs 100 currency note set to birth this big problem
The introduction of the new Rs 100 note by the RBI would require another round of ATM recalibration, an exercise that could lead to the incurring of a massive cost of as much as Rs 100 crore, The Economic Times report said citing banks and ATM operators.
The new Rs 100 currency note that will be rolled out by RBI is all set to create a big problem. The Reserve Bank of India's recent notification to introduce new Rs 100 currency note would require another round of bank ATM recalibration, as the new currency is neither the size of the old Rs 100 note nor of the Rs 200 note for which ATMs were recently recalibrated.
The introduction of the new Rs 100 note by the RBI would require another round of ATM recalibration, an exercise that could lead to the incurring of a massive cost of as much as Rs 100 crore, The Economic Times report said citing banks and ATM operators. “It looks like we may have to recalibrate the ATMs because the new Rs 100 is neither the size of the old Rs 100 note nor the Rs 200 note for which we have recalibrated our ATMs,” Rajiv Anand, ED, Axis Bank told ET.
Earlier yesterday, the RBI said it will issue new Rs 100 notes under the "Mahatma Gandhi (New) Series shortly. The dimension of the new banknote will be 66mm width and 142mm length."
Navroze Dastur, Managing Director, NCR Corporation, told ET, "Since the dimension of this note is different from the earlier one it will lead to another round of ATM recalibration but my assessment is it will be spaced out and will not be done immediately.”
In January this year, the RBI had directed banks to recalibrate their ATMs to ensure that more of the Rs 200 currency notes were dispensed. The recalibration of all ATMs is yet to be accomplished by banks. The latter had reportedly requested RBI to delay recalibration till the new Rs 100 notes were released.
A banker who did not wish to be named told ET, "We had requested that banks be allowed to recalibrate ATMs once both new Rs 100 and Rs 200 notes were released to save manpower and costs but our request was shot down.”
The recalibration exercise will also involve installation of spacers to adjust the currency size.
In July 2017, the RBI had stopped printing Rs 500 and Rs 1,000 currency notes in favour of printing Rs 2,000 and new Rs 500 notes and other lower denomination currencies.
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Notably, the Reserve Bank of India yesterday stated that it "will shortly issue Rs 100 denomination banknotes in the Mahatma Gandhi (New) Series, bearing signature of Dr Urjit R Patel, Governor, Reserve Bank of India. The new denomination has Motif of “RANI KI VAV” on the reverse, depicting the country’s cultural heritage. The base colour of the note is Lavender. The note has other designs, geometric patterns aligning with the overall colour scheme, both at the obverse and reverse.