RBI issues Minimum Standards for opening a Currency Chest

RBI issues Minimum Standards for opening a Currency Chest

• The Reserve Bank of India has decided to have the following minimum standards for setting up of a new Currency Chests.
  • Minimum area of the strong room/ vault: 1500 sq. ft. 
    For those situated in hilly/inaccessible places area of the strong room/ vault: at least 600 sq. ft.

  • Processing capacity of 6,60,000 pieces of banknotes per day. For those situated in the hilly/ inaccessible places, capacity of 2,10,000 pieces of banknotes per day.

  • Chest Balance Limit of Rs 10 billion.

• This has been done on the recommendation of Shri D.K. Mohanty Committee. The committee had recommended the opening of large Currency Chests (CCs) with modern facilities and Chest Balance Limit (CBL) of at least ₹ 10 billion.

Note: Currency Chest is a bank branch authorised by RBI to hold the money for distribution of money to other bank branches. It acts as an extended arm of RBI for the circulation of currency in the economy.

Points to remember:

1. Minimum area?
2. Chest Balance Limit?
3. Head of committee?