India approves RBI field trials of ₹10 and ₹20 polymer banknotes

The Indian government has approved the Reserve Bank of India's (RBI) proposal to conduct field trials of polymer banknotes in the ₹10 and ₹20 denominations. The RBI plans to issue one billion notes of each denomination for testing, with a wider rollout considered only if the trials prove successful.

The Finance Ministry clarified that polymer notes will circulate alongside existing paper notes and there is no plan to replace paper currency. Polymer notes are expected to last longer, reduce waste and replacement costs, and incorporate advanced anti‑counterfeiting features. The impact on digital payments will be assessed after regular issuance, with officials stating that physical and digital payment systems are complementary.