Daijiworld Media Network - Mumbai

Mumbai, Nov 5: The Reserve Bank of India (RBI) has dismissed claims of a shortage of Rs 10, Rs 20 and Rs 50 currency notes ahead of Diwali 2026, warning the public against believing or circulating a fake circular being shared on social media and messaging platforms.

The clarification came after a forged notice carrying the RBI's name, logo and a purported signature of the RBI Governor began circulating online. Dated October 27, 2026, the fake circular claimed that smaller denomination banknotes might not be available in sufficient quantities during the upcoming festive season.

In a post on X, the central bank clarified that it had not issued any such circular and that sufficient currency notes of all denominations, including Rs 10, Rs 20 and Rs 50 notes, were available in its vaults and currency chests.

The RBI said certain elements were fraudulently using its name and logo to circulate a forged communication signed in the name of the Governor. It described the contents of the notice as misleading and urged people not to share it.

The fake circular claimed that the availability of smaller denomination notes could be affected because of the growing adoption of digital payments and the government's move towards a less-cash economy. It also alleged that printing of lower denomination notes was being progressively reduced as more people shifted to digital transactions.

The forged notice advised people to use alternatives such as the Unified Payments Interface (UPI), debit and credit cards, net banking and other electronic payment methods. It further suggested that people plan their cash requirements in advance to avoid inconvenience during the festive season.

However, the RBI has rejected these claims, clarifying that it has neither announced a shortage of smaller denomination notes nor issued any advisory asking people to avoid relying on cash transactions.

The central bank's clarification is particularly significant ahead of Diwali, when cash transactions traditionally increase across markets, retail shops and small businesses. Rs 10, Rs 20 and Rs 50 notes are widely used for everyday purchases, including groceries, transport, street-vendor transactions and other small-value payments.

Smaller denomination notes are also in demand during festivals when people purchase gifts, visit markets and make cash payments. Their availability is important for customers and shopkeepers who depend on cash and require change for routine transactions.

The fake notice had the potential to create unnecessary anxiety among people, particularly those who rely on cash for their daily needs. The RBI's statement makes it clear that there is no reason for people to rush to banks or withdraw additional cash because of the alleged shortage.

The RBI has urged the public to verify information through its official communication channels and avoid forwarding unverified notices. It has reiterated that sufficient currency notes of all denominations are available.