Guwahati, July 28 -- The Centre has approved the Reserve Bank of India's (RBI) proposal to introduce polymer banknotes in the Rs 10 and Rs 20 denominations on a trial basis, marking a fresh step towards testing more durable currency in the country.

Minister of State for Finance Pankaj Chaudhary informed the Lok Sabha on Monday that the government has authorised the RBI to issue 1 billion polymer banknotes each of Rs 10 and Rs 20 for field trials. The move follows a recommendation from the RBI's Central Board under Section 25 of the Reserve Bank of India Act, 1934.

According to the minister, if the field trials are successful, the central bank will proceed with the regular issuance of polymer banknotes in these two denominations.

Howeve...