Today, in the era of digital transactions and inflation, the ₹ 1 coin may seem modest, but it has emotional importance for many. This coin has been in trend since 1992. According to an RTI, it costs more than ₹ 1 to make it. According to the information revealed in 2018, the cost of making a ₹ 1 coin was ₹ 1.11, ie more than its face value.
How to coin ₹ 1
A coin of ₹ 1 is made from stainless steel. Its diameter is 21.93 mm, thickness 1.45 mm and weighs 3.76 grams. The funny thing is that the cost of making other coins is slightly lower. For example, a coin of ₹ 2 is made in ₹ 1.28, ₹ 5 coin in ₹ 3.69 and ₹ 10 coin in ₹ 5.54.
They are prepared at Government Mint in Mumbai and Hyderabad. The latest cost data after 2018 is not available. But it is believed that after 7 years i.e. by 2025, the cost will have increased further due to inflation.
Coins cost
Decline in coins of coins
RTI also revealed that the number of coins made every year is decreasing. For example, in 2017, where 90.3 crore coins of ₹ 1 were made, in 2018 the number decreased to 63 crores. One reason for this may be the increase in use of digital payment platforms like UPI. Because most people have started making small payments through UPI to avoid the problem of change.
Who prints the note?
The coins form the Government of India, but the Reserve Bank of India (RBI) has the responsibility of printing notes ranging from ₹ 2 to ₹ 500. For this, the RBI runs two currency presses through its subsidiary ‘Reserve Bank of India Note Printing Private Limited’.
Cost of printing note
The cost of printing notes varies according to their value. For example, printing 1000 notes of ₹ 10 is spent about ₹ 960. Similarly, it costs ₹ 1,770, ₹ 2,370 to printing 1000 notes of ₹ 100, ₹ 2,370 and 1000 notes of ₹ 500 in printing 1000 notes of ₹ 100.
Cost of printing 1 note
The government also ran a ₹ 2000 note. It used to cost about ₹ 4 to print it. However, RBI has excluded this note from circulation and its printing has also stopped.