Reserve Bank of India issues all types of currency in India, but it does not issue which type of currency?

[amp_mcq option1=”One rupee note” option2=”One thousand rupee note” option3=”Five rupee note” option4=”Ten rupee note” correct=”option1″]

The correct answer is: A. One rupee note.

The Reserve Bank of India (RBI) is the central bank of India. It was established on April 1, 1935, in accordance with the Reserve Bank of India Act, 1934. The RBI is the sole issuer of currency in India. It also acts as the banker to the government of India and the banker’s bank.

The RBI issues currency notes in denominations of ₹10, ₹20, ₹50, ₹100, ₹500, and ₹2000. It also issues coins in denominations of ₹1, ₹2, ₹5, ₹10, and ₹20.

The RBI does not issue currency notes in denominations of ₹1. This is because the cost of printing and distributing ₹1 notes is higher than the value of the note itself. The RBI also believes that ₹1 notes are not very useful, as most transactions in India are done in higher denominations.

The RBI has also stopped issuing coins in denominations of ₹1 and ₹2. This is because these coins are not very popular, and they are often counterfeited. The RBI believes that it is more efficient to use ₹5 coins instead of ₹1 and ₹2 coins.

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