There was a lot of criticism over the introduction of Rs 200o denomination. It was issued immediately after demonetising so called high notes of RS 500 and Rs 1000. Moreover, the velocity of Rs 2000 denomination is much lower and created further chaos. People said if at all, the RBI/ Government should have introduced smaller denomination notes like say Rs 200. This blog’s research also shows that this will be a totally new denomination just like Rs 2000. This has to be first approved by RBI Board and then the Government.
Perhaps taking a cue, RBI Board has cleared printing of Rs 200 note. Gopika Gopakumar of Mint reports:
The board of the Reserve Bank of India (RBI) has cleared a proposal to introduce banknotes of Rs200 denomination, two people aware of the development said.
The decision was taken at the RBI board meeting in March, these people said. They didn’t want to be identified as they aren’t authorized to speak to the media.
The process of printing the new Rs200 notes is likely to begin after June, once the government officially approves this new denomination, said one of the two people cited earlier.
However, there is one catch.
If this is true, then again we have a decision on new currency note taken in secrecy. A lot depends on the veracity of the news.
This time it is even a bigger secret as there was no Board meeting in March as per the website (select 2017 and then March in right menu). As per RBI Act, Section 13: