The legal tender which we use today has had a long history, ever since the ancient times. The first banknote to be used as currency was in 1864 when the Government of India started issuing notes. But there are a few things that many might not know about our ‘Hari Pattis’.

The composition of paper/cloth is kept top secret

Starch paper with the cotton fiber and balsam gives it a crumply property, hence it gives the feeling of paper. The ink and its formula is also kept secret, so that the counterfeiters cannot make fake notes. Technically speaking, the notes have no value in the market until after they’re printed.

But wait, who decides all this?

The design and composition of Indian Legal Tender Banknotes is required to be approved by the Central Government, based on the recommendations of the Central Board of Directors of the Reserve Bank of India, according to the RBI Act of 1934.