India's Cash in Circulation Hits Record ₹42.86 Lakh Crore, Up 11.5% in FY27
Updated
Updated · whalesbook.com · May 21
India's Cash in Circulation Hits Record ₹42.86 Lakh Crore, Up 11.5% in FY27
3 articles · Updated · whalesbook.com · May 21
Summary
₹42.86 lakh crore of currency was in circulation in India, with cash rising ₹1.15 lakh crore in FY27’s first six weeks to a new record.
Election spending, stronger rural incomes and farm activity, inflation, market volatility and government cash transfers all helped keep demand for notes and coins elevated.
Digital payments still expanded 21% to ₹314.23 lakh crore in FY26, showing cash use is rising alongside electronic transactions rather than being displaced by them.
Cash in circulation stood at 12.1% of GDP in FY26, down from 14.4% in FY21, suggesting the economy is digitising even as households and rural users keep cash for storage and day-to-day use.