AN A TO Z OF BANKNOTES OF THE WORLD INDIA
The story of banknotes proper starts in late 18th century with the Calcutta-based Bank of Hindostan, founded by Scottish businessmen. They were followed by the first of three colonial ‘Presidency Banks’, formed with British government support to help promote the economy and provide much needed finance for the expansion of industry in India. These were the Bank of Bengal, the Bank of Bombay and the Bank of Madras and all had the right to issue banknotes.
Several other commercial banks also issued notes during the early to mid-19th century but they were all required to give this up in 1861 when the Paper Currency Act reserved this privilege to the Government of India. All these early issues are rare and
