Decision to outsource printing of currency notes causes concern in Parliament

The committee on public undertakings in its sixth report on security printing and minting, submitted before Parliament, expressed concern as the decision to outsource. The committee members felt such a move could destabilise the economy by agencies or authorities who could "misuse our security parameters for printing of currency notes."

AN official release from the committee said: "The use of such notes which could have been printed in excess could easily have fallen in the hands of unscrupulous elements such as terrorists, extremists and other economic offenders." 

Reserve Bank of India in 1997-98, outsourced printing of 2,000 million pieces of Rs 100 notes and 1,600 million pieces of Rs 500 notes to US, UK and Germany amounting to Rs 1 lakh crore. The committee, after questioning central bank officials, said the reasons provided were far from convincing.