HomeCirculars › RBI/2010-11/479

25 Paise Coins Withdrawn from Circulation from June 30, 2011

Current · Source: Reserve Bank of India · RBI/2010-11/479 · issued 20 Apr 2011 · ~1 min read
Quick answerGovernment withdraws 25 paise and lower denomination coins from circulation effective June 30, 2011. Banks must exchange these coins at face value until June 29, 2011. Post that date, they cease to be legal tender.
The rule, in the simplest words
How it plays out — a real example

A deposits officer in Indore, Mr. Kumar, made sure to exchange all the 25 paise coins at the bank's branch before the deadline, so that customers could still use them for transactions. He also informed the customers about the withdrawal and exchange deadline through notices, ensuring a smooth transition for everyone.

What changed

The Government of India, via Gazette Notification S.O 2978(E) dated December 20, 2010, decided to withdraw coins of 25 paise and below from circulation. RBI instructed banks with small coin depots to exchange these coins at face value at their branches until June 29, 2011. From July 1, 2011, these coins will no longer be accepted for exchange or as legal tender.

What it means for you

Regional Rural Banks must facilitate exchange of these coins at face value before the deadline. After June 30, 2011, these coins lose legal tender status, so banks cannot accept them for transactions. This impacts cash handling and customer service operations.

What you must do

Who it affects

Regional Rural Banks, Branches maintaining small coin depots, Customers holding 25 paise and lower denomination coins

❓ Common questions

Regulatory timeline

Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).

What is the deadline for exchanging 25 paise coins?

Branches must exchange these coins at face value until the close of business on June 29, 2011.

What happens after June 30, 2011?

From July 1, 2011, these coins cease to be legal tender and will not be accepted for exchange at bank branches.

Which banks are affected by this circular?

All Regional Rural Banks and banks maintaining small coin depots are required to follow these instructions.

📜 Read the original circular — full text as issued by RBI
RBI/2010-11/479 RPCD.CO.No RRB. 60 /03.05.33 /2010-11 April 20, 2011 The Chairmen Regional Rural Banks Dear Sir, Coins of 25 Paise and below – Withdrawal from Circulation Please refer to the Govt. of India Gazette Notification S.O 2978(E) dated December 20, 2010 and the Reserve Bank Press Release dated February 1, 2011 on the above subject (copies enclosed). 2. The Government of India has decided to withdraw coins of denomination of 25 paise and below from circulation with effect from June 30, 2011. The Reserve Bank of India has instructed the banks maintaining small coin depots to arrange for exchange of coins of denomination of 25 paise and below for their face value at their branches. The coins will be exchanged at the branches of these banks as also the offices of the Reserve Bank till the close of business on June 29, 2011. Coins of denomination of 25 paise and below will not be accepted for exchange at the bank branches from July 1, 2011 onwards. The RRBs may take note of the above instructions. 3. Please acknowledge receipt to the Regional Office concerned. Yours faithfully (C.D.Srinivasan) Chief General Manager Encls: 2 Ministry of Finance (Department of Economic Affairs) Notification [F.No.11/19/2009-coin] December 20.2010 S.O.2978 (E) –In exercise of the powers conferred by sub-section 15A of the Coinage Act, 1906 (3 of 1906), the Central Government hereby determines to call in from circulation the coins of the denomination of 25 paise and below, issued from time to time, with effect from June 30, 2011 and from this date these coins shall cease to be a legal tender for payment as well as on account. The procedure for call in shall be notified separately by the Reserve Bank of India. (Arun Sobti) Under Secy. (Currency & Coinage)
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2010-11/479 · issued 20 Apr 2011. The plain-English explanation above is BankPulse’s own independent summary.
🧰 Tools — save, print, templates & related
Who does what — compliance checklist
🏦 Branch Manager
  • Arrange exchange of 25 paise and below coins at all branches until June 29, 2011.
📜 Compliance
  • Inform customers about the withdrawal and exchange deadline through notices.
  • Ensure no acceptance of these coins for exchange or transactions after June 30, 2011.
  • Acknowledge receipt of this circular to the respective RBI Regional Office.
Grouped from the action items above — a single circular may involve more than one team.
Worked example & action-note template

Example: if you are a Branch Manager at a bank this circular applies to (Regional Rural Banks, Branches maintaining small coin depots, Customers holding 25 paise and lower denomination coins), your first concrete step on “25 Paise Coins Withdrawn from Circulation from June 30, 2011” is: “Arrange exchange of 25 paise and below coins at all branches until June 29, 2011.” (RBI issued this 20 Apr 2011).

  1. Circular: RBI/2010-11/479 -- 25 Paise Coins Withdrawn from Circulation from June 30, 2011
  2. Issued: 20 Apr 2011
  3. Action required: Arrange exchange of 25 paise and below coins at all branches until June 29, 2011.
  4. Action required: Inform customers about the withdrawal and exchange deadline through notices.
  5. Action required: Ensure no acceptance of these coins for exchange or transactions after June 30, 2011.
  6. Action required: Acknowledge receipt of this circular to the respective RBI Regional Office.
  7. Owner: ____________ Target date: ____________
  8. Board/committee approval needed? Y / N
  9. Evidence filed in compliance register on: ____________
Built only from this circular’s own published fields — not legal advice; always confirm against the official RBI source.

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BankPulse Compliance Evidence Pack — generated 03 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly).
Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=6351&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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