The Reserve Bank of India (RBI) has reported a 5.7 percent increase in the detection of counterfeit currency notes during the financial year 2025-26. According to the central bank's annual report, a total of 2,34,000 fake notes were detected across various denominations, up from 2,21,500 in the previous fiscal year.
Rs 500 Notes Dominate Counterfeit Detection
Fake Rs 500 notes remained the most detected denomination, with their numbers rising by 20.5 percent to 1,41,907 pieces in FY26, compared to 1,17,722 in FY24-25. This category alone accounted for over 60 percent of all counterfeit notes detected during the year.
Other Denominations See Mixed Trends
Detection of counterfeit Rs 20 notes also saw a significant increase, rising to 12,500 pieces from 9,800 in the previous year. In contrast, fake Rs 2,000 notes, which have been phased out of circulation, saw a decline of 15 percent, with only 8,200 pieces detected. Counterfeit Rs 100 and Rs 10 notes also recorded marginal decreases.
The RBI attributed the rise in detection to enhanced surveillance and improved verification mechanisms by banks and law enforcement agencies. The central bank has urged the public to remain vigilant and report any suspicious currency to the authorities.
Regional Distribution and Impact
The highest number of counterfeit notes were detected in the western and northern regions of the country, accounting for 35 percent and 30 percent of total seizures, respectively. The RBI has called for stricter enforcement and public awareness campaigns to curb the circulation of fake currency.
The overall increase in detection reflects the central bank's ongoing efforts to safeguard the integrity of the Indian currency system. However, the rise also underscores the persistent challenge posed by counterfeiters, who continue to target higher denomination notes.
