Is Indian currency being printed in China without Delhi’s approval? The President or the China Banknote Printing and Minting Cooperation, Liu Guisheng was quoted saying that the Chinese government has contracts for printing foreign currencies. Liu Guisheng told the South China Morning Post that several nations including India have authorised China to print their currencies.
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These sensational claims created ripples in India, and the Reserve Bank of India had to step in. The Reserve Bank of India came out to state that the report about the Indian currency being printed in China is incorrect and all of the Indian currency is printed in India itself.
China started printing foreign currencies primarily after the launch of its highly ambitious Belt and Road Initiative in 2013. This year the government of China has set an unusually high quota for the printing of notes and hence the production of foreign currencies in plants across China has been beefed up.
Most of the orders being completed at the state-run plants are of nations which have participated in the Belt and Road Initiative of China. Chinese Yuan only made a small proportion of these orders being processed by the currency printing plants across China. Various employees of these plants stated that the production and output remained low last year.
Liu Guisheng also revealed that Nepal was the first country to outsource the printing of its currency to China. Then contracts from India, Sri Lanka, Thailand, Malaysia, Brazil and Poland were won by China. This list of nations could be longer than this as claimed by some sources.
The China Banknote Printing and Minting Cooperation has more than 18,000 employees scattered in various parts of China. More than 10 heavily secured note printing facilities are run by China to print currencies. If India is denying reports, is China printing the Indian currency without India’s permission?