Is Indian government allowing China to print Indian currency notes? What if this happens to be true? Well, many people have recently raised their concerns over the issue after an article, suggesting several countries, including India, have allowed China’s state-owned firms to print their currency, was published by the Hong Kong daily South China Morning Post and shared by someone on social media.
The article titled “Why other countries are giving China a license to print money”, published on August 12, claimed that China is printing foreign currencies on a massive scale as Beijing seeks to increase its influence on the world economy and geopolitics. Meanwhile, it is reportedly said that the Reserve Bank of India has denied the claims and asserted that the country’s currency notes are being printed only in India.
According to the article, Liu Guisheng, President of the China Banknote Printing and Minting Corporation, said that China did not print foreign currency until Beijing launched the “Belt and Road” plan in 2013.
However, it said that China started printing 100-rupee notes for Nepal two years after the “Belt and Road” plan was launched and since then China Banknote Printing and Minting Corporation had seized the opportunities brought by the initiative and successfully won contracts for currency production projects from a number of countries including Thailand, Bangladesh, Sri Lanka, Malaysia, India, Brazil, and Poland.
The belt and road plan is a global development blueprint involving about 60 countries from Asia, Europe to Africa to stimulate economic growth with large-scale capital investment and infrastructure construction projects.
The article also claimed that multiple sources in the China Banknote Printing and Minting Corporation confirmed that money production plants across the country were running at near full capacity this year.
It said that most of the orders come from countries which have partnered with China in its “Belt and Road Initiative” and that Chinese yuan bills accounted for only a small portion of the orders.
Following the article, Congress MP Shashi Tharoor was one of the first persons to raise his concern over the issue. He tweeted that allowing China to print India’s currency could have “disturbing national security implications”, adding that the move could also make it easier for Pakistan to produce counterfeit currency.
He has asked Finance Minister Arun Jaitley and Railway Minister Piyush Goyal to clarify on the matter.
— Shashi Tharoor (@ShashiTharoor) August 12, 2018
Congress spokesperson Randeep Singh Surjewala asked if Chinese been given a contract to print Indian currency notes and if it’s China’s new design to engulf South East Asia.
Is ‘China Banknote Printing and Minting Corporation’ printing currency for Nepal,Bangladesh,Sri lanka?
Is this Dragon’s new design to engulf South East Asia?
Have the Chinese been given a contract to print Indian currency notes?
If so, it’s a grave breach of National Security. https://t.co/YicRkNtITc
— Randeep Singh Surjewala (@rssurjewala) August 13, 2018
Meanwhile, the article also claimed that Beijing has been asked by some governments not to publicise the deal because they are concerned that such an information could compromise national security or trigger unnecessary debates in the respective countries. However, what is really interesting is that the number of countries that have or plan to outsource currency printing to China could be much bigger and which has been mentioned in the above could be just the tip of the iceberg, it said.