Hybrid ATMs to Dispense Small Notes, Solve Change Problem for Daily Transactions

• The central government plans to introduce 'Hybrid ATMs' that dispense small denomination notes like Rs.10, Rs.20, and Rs.50.
• These ATMs will also allow users to exchange larger notes for smaller ones, addressing the common issue of lack of change.
• A pilot project for Hybrid ATMs is currently underway in Mumbai, strategically placed in high cash usage areas like markets and railway stations.
• Despite the rise of digital payments, cash remains crucial for daily wage earners, street vendors, and commuters, making small notes essential.
• The initiative aims to manage cash circulation more efficiently and ease daily transactions for millions, with RBI considering printing more small notes.

Why It Matters: Hybrid ATMs will provide small denomination notes and change, easing daily cash transactions for millions.