Nepal Rastra Bank lit fire to bank notes worth Rs 26.96 billion of various denominations in the last fiscal year, after they were used beyond repair and no longer fit for circulation.
With the destruction of this lot, the central monetary authority has got rid of bank notes worth Rs 249.44 billion till date, shows the annual report of NRB for fiscal 2012-13 made public recently.
NRB regularly destroys bank notes that are worn out and used beyond repair. Fire is lit on these notes to destroy them so that they do not make their way back to the market again.
Last fiscal, the central bank spent Rs 593.2 million to print notes of various denominations and Rs 101.6 million to mint coins.
“Because so much is spent on note printing and minting of coins, we have long been asking people to carefully use notes and coins so that we can save taxpayers’ money,” a high-ranking NRB official told The Himalayan Times. As a measure towards preserving bank notes, NRB has also instructed all banks and financial institutions not to use more than one staple pin in each bundle of notes.
As of last fiscal, bank notes worth Rs 233.46 billion of various denominations were in circulation in the market, of which Rs 322.1 million worth of notes were dispatched in the last fiscal ended mid-July alone.
Of these notes, 151.815 million units of notes are of 1000-rupee denomination, 125.802 million units are of 500-rupee denomination, 89.205 million units are of 100-rupee denomination, 76.04 million units are of 50-rupee denomination, 112.326 million units are of 20-rupee denomination and 193.761 million units are of 10-rupee denomination, among others, says the annual report.
NRB has also placed orders to print Rs 200 million worth of notes of five-rupee denomination, Rs 270 million worth of notes of 10-rupee denomination, Rs 180 million worth of notes of 20-rupee denomination, Rs 140 million worth of notes of 50-rupee denomination, Rs 110 million worth of notes of 100-rupee denomination and Rs 140 million worth of notes of 500-rupee denomination, the report adds. NRB usually keeps stock of bank notes sufficient for three years and gradually releases them in the market.
NRB injects additional money into the economy based on foreign income made by the country. This includes income generated from workers’ remittances and exports, among others. And each Nepali rupee that is sent to the market is backed by an equivalent amount of foreign currency, foreign treasury bills or gold.
“As of last fiscal, 93.31 per cent of banks notes were backed by foreign currency and the rest by foreign treasury bills purchased by NRB,” says annual report.
source: republica,15 Dec 2013
LINK
With the destruction of this lot, the central monetary authority has got rid of bank notes worth Rs 249.44 billion till date, shows the annual report of NRB for fiscal 2012-13 made public recently.
NRB regularly destroys bank notes that are worn out and used beyond repair. Fire is lit on these notes to destroy them so that they do not make their way back to the market again.
Last fiscal, the central bank spent Rs 593.2 million to print notes of various denominations and Rs 101.6 million to mint coins.
“Because so much is spent on note printing and minting of coins, we have long been asking people to carefully use notes and coins so that we can save taxpayers’ money,” a high-ranking NRB official told The Himalayan Times. As a measure towards preserving bank notes, NRB has also instructed all banks and financial institutions not to use more than one staple pin in each bundle of notes.
As of last fiscal, bank notes worth Rs 233.46 billion of various denominations were in circulation in the market, of which Rs 322.1 million worth of notes were dispatched in the last fiscal ended mid-July alone.
Of these notes, 151.815 million units of notes are of 1000-rupee denomination, 125.802 million units are of 500-rupee denomination, 89.205 million units are of 100-rupee denomination, 76.04 million units are of 50-rupee denomination, 112.326 million units are of 20-rupee denomination and 193.761 million units are of 10-rupee denomination, among others, says the annual report.
NRB has also placed orders to print Rs 200 million worth of notes of five-rupee denomination, Rs 270 million worth of notes of 10-rupee denomination, Rs 180 million worth of notes of 20-rupee denomination, Rs 140 million worth of notes of 50-rupee denomination, Rs 110 million worth of notes of 100-rupee denomination and Rs 140 million worth of notes of 500-rupee denomination, the report adds. NRB usually keeps stock of bank notes sufficient for three years and gradually releases them in the market.
NRB injects additional money into the economy based on foreign income made by the country. This includes income generated from workers’ remittances and exports, among others. And each Nepali rupee that is sent to the market is backed by an equivalent amount of foreign currency, foreign treasury bills or gold.
“As of last fiscal, 93.31 per cent of banks notes were backed by foreign currency and the rest by foreign treasury bills purchased by NRB,” says annual report.
source: republica,15 Dec 2013
LINK
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