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Like most of India’s neighboring countries, Nepal is now turning to China for its currency printing. Nepal National Bank (NRB) had issued a tender for printing of 43 crore Rs 1000 notes on November 7-8.
A Chinese company has won this tender. After this Nepali Bank gave the tender to China CBPMC. From 1945 to 1955, all the notes of Nepal were printed in India’s security press at Nashik and even after that India remained the main partner.
However, in 2015, Nepal National Bank (NRB) awarded the contract to China Bank Note Printing and Minting Corporation (CBPMC) through global tender, after which most of Nepal’s notes started being printed in China.
Apart from Nepal, Sri Lanka, Malaysia, Bangladesh and Thailand also get their currency printed in China. In the last few years, China has become a major currency center of Asian countries. This is having a negative impact on the currency printing market of America and Britain.
1 thousand Nepalese rupee note.
Bangladesh has been printing currency in China since 2010, Sri Lanka since 2015.
Bangladesh’s taka currency has been printed in China since 2010, where its low cost and advanced security features have promoted it.
The Sri Lankan rupee has been mainly dependent on China since 2015. Afghanistan also chose China for its Afghani currency since the 2000s.
Thailand-Malaysia are also taking advantage of cheap printing in China
According to the report of South China Morning Post, India’s neighbors Thailand and Malaysia are also printing notes in China. Thailand has been printing currency since 2018. Malaysia’s ringgit (currency) also shifted to China since 2010, where printing of polymer-based notes reduced counterfeit notes by 50%.
According to Money Control’s 2025 report, they turned to China for economic benefits under China’s Belt and Road Initiative (BRI), while staying away from India’s Security Printing and Minting Corporation.
However, Bhutan is still dependent on India. Its currency is printed in Nashik Press. But in recent discussions, Bhutan has also expressed the possibility of cooperation with China.
Pakistan prints currency in its own press
At the same time, Pakistan gets its currency printed in the domestic press, but some reports mention cooperation with China. According to the Economic Times (2018), Pakistan has occasionally taken technical assistance from the China Banknote Printing and Minting Corporation (CBPMC).
However, complete outsourcing has not been confirmed. Myanmar, on the other hand, has grown more dependent on China for its currency after the 2020 coup, where political instability necessitated foreign printing.
China’s CBPMC is the world’s largest currency printer
These countries are taking the decision to print notes in China for economic, technological and strategic benefits. The biggest advantage is savings. Nepal saved $3.76 million compared to US firms on printing Rs 1,000 notes in 2016.
China’s CBPMC is the world’s largest currency printer (over 18,000 employees, 10 secure facilities). According to NDTV report, like Nepal, these countries are benefiting from China’s ‘Colordance’ technology and 30-40% lower cost.
CBPMC is the world’s largest currency printer. It was established in 1948. More than 18 thousand employees work here.
Why Are most countries turning to China to print currency?
Most of the countries are turning to China because of its ‘Colordance’ technology. China’s ‘ColorDance’ technology is an optical anti-counterfeiting feature, primarily developed to enhance the security of currency notes (banknotes).
It is a type of holographic security thread or mark, which is effective in preventing counterfeit notes.
It uses micro-nano structures (very small marks) on the note. Due to this, 3D marks appear when the note is tilted or rotated. These marks are very difficult to spot in fake notes.
Is this reducing the US-UK market?
China’s low-cost model is having a negative impact on the money printing market of America and Britain. However, this is limited only to developing countries. Developed countries print their own currency.
China’s prices are 50% lower than those in the US and UK, while the quality is the same. Due to this, developing countries are moving away from western companies. If this trend continues, Western companies may have to reduce prices or focus on new technology (such as polymer notes).
America market:
- The US prints its own currency (USD) domestically (US Bureau of Engraving and Printing).
- China’s dominance in the global market (11% outsourcing) is increasing.
UK market:
- De La Rue is the world’s No. 2 company (prints currency for 140+ countries).
- Britain seized $1.5 billion of Libyan dinars in the 2011 Libyan crisis. Due to such risks, countries are choosing cheaper options like China.
China is increasing economic influence through ‘soft power’ strategy
These changes are part of China’s ‘soft power’ strategy, where economic influence is being increased through currency printing. According to a report, 70% of the developing countries of South Asia are now dependent on China for infrastructure.
It has benefits from low cost and modern features. But there is also a risk of blackmail from foreign dependence. As happened with Sri Lanka, China took over the Hambantota port for 99 years in 2017 for non-payment of a loan of $7 billion.
Hambantota Port of Sri Lanka was taken on lease by China for 99 years due to non-payment of loan.
Nepal showed areas of India in its notes, tension increased
The main reasons for stopping printing of notes in India are both political and economic. Nepal had released a new political map of the country on 18 June 2020. In this, Lipulekh, Limpiyadhura and Kalapani were shown as part of Nepal.
For this, changes were also made in the Constitution of Nepal. Then the Indian government had opposed this step of Nepal, calling it one-sided. After which tension increased between Nepal and India.
India has limited capabilities compared to China. The Security Printing and Minting Corporation of India mainly focuses on the Indian Rupee.
India’s bid to countries is 20-30% costlier than China’s. According to a 2019 study by The Diplomat, many countries made the switch due to delays, high costs and lack of technology in exchanging old notes.
The process of printing notes is kept confidential
The process of printing notes in another country is confidential, which ensures national security. First, the central bank decides the design. Then, a global tender is issued, where currency printers place bids.
The winner is selected based on technical evaluation (safety, efficacy) and price. Once the contract is signed, the design is shared confidentially, and printing takes place under strict surveillance.
Serial numbers are assigned to the central bank. After delivery, the notes are scrutinized, and if there are any defects or the required guidelines are not followed, the contract may be voided.
India spent Rs 6,372.8 crore on note printing in the year 2025
The Reserve Bank of India prints its notes at the presses in Nashik, Dewas and Mysore.
Globally, the average cost of printing a note ranges from $0.05 to $0.20 (approximately Rs 4-16), but it varies depending on the number and quality of notes. The cost of printing notes in India is low, but the expense increases due to the total volume (about 1 billion notes every year).
According to the report of Reserve Bank of India (RBI), India spent a total of Rs 5,101 crore on printing notes in 2023-24. In 2024-25 it will become Rs 6,372.8 crore. Smaller notes (₹10-20) cost more because they tend to deteriorate quickly (average lifespan 6-12 months), while larger notes (₹500-₹2,000) last longer.
RBI prints notes in the presses of Nashik, Dewas and Mysore, which are 20-30% costlier than abroad but safer.
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