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When was the Decimal System of Currency Introduced in India?

By Balaji

Updated on: March 21st, 2023

The Decimal system of currency was introduced in India on April 1, 1957. A decimal currency system means that each currency unit can be divided into 100 sub-units. India switched from the rupee, anna, and pi system to a decimal currency in 1957. The decimalization process establishes 1 Naya (new) paisa = 1⁄100 rupee in India, Pakistan, and other countries where the following system was formerly used: 1 rupee = 16 annas = 64 (old) paise = 192 pies.

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(more)
  • 1. Decimal System of Currency in India (more)
  • 2. When was the Decimal System of Currency Introduced in India? (more)

Decimal System of Currency in India

On April 1, 1957, 10 years after gaining independence from the British, Indian coins became decimal. The decimalization of the pound did not impact its intrinsic worth. The history of modern coinage in India is just around 200 years old, even though coins have been used as units of value for money for about 500 years.

The East India Company, the forerunner of the British Raj, has a fascinating history with amusing elements. India kept using the outdated non-decimal currency even after the British withdrew after gaining independence in 1947. In 1957, India adopted the decimal system. A little over two years earlier, in 1955, legislative efforts were launched to ease the decimal system transition.

  • In September 1955, the Indian Coinage Act was revised to include the decimal system.
  • Before decimalization, the first decimal coins, the five and ten pence (5p and 10p), were released in 1968 to acquaint the general public with the new system.
  • The coins that are now in circulation in India are called “decimal coins.” In contrast to pre-decimal coinage, these coins adhere to the 100 Paise = 1 Rupee formula.

Summary:

When was the Decimal System of Currency Introduced in India?

On 1 April 1957, the Decimal System of Currency was introduced in India. The decimal system was introduced to make the transition easier for users. India changed from anna, rupee, and pie to decimal currency. The conversion of a monetary or weights and measures system to units linked by powers of 10 is decimalization. Before this, the 1st decimal coins, 5 and 10 pence were released to acquaint the general public with the new system.

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