Headline:
RBI Plastic Currency Update: What Will Happen to Paper Notes? Here’s How the RBI Will Destroy and Recycle Them
DWARKA NEWS
Chief Editor Vikram singh tomar
2 August 2026
News Report:
New Delhi: As the Reserve Bank of India (RBI) prepares to introduce polymer currency notes on a trial basis, many people are wondering what will happen to the existing paper notes. Under the RBI’s Clean Note Policy, worn-out and damaged notes are not burned. Instead, they are destroyed using a secure, automated, and environmentally friendly process.
The notes are first examined through the Currency Verification and Processing System (CVPS), which separates counterfeit notes from genuine but unfit currency. The unusable notes are then fed into industrial shredding machines that cut them into tiny, irregular pieces, making reconstruction virtually impossible.
The shredded paper is compressed into solid blocks using hydraulic presses. These blocks are later recycled into office folders, clipboards, diaries, packaging materials, and other stationery products. Some recycled blocks are also supplied to certified industries through a transparent tender process, ensuring sustainable use of the material while maintaining the highest security standards.
Author: Vikram singh tomar
DWARKA NEWS NATIONAL NETWORK
