Indian Currency: What You Need to Know Before Traveling to India

When you travel to India, you’re not just packing clothes and a camera—you’re entering a country where money works differently than back home. The Indian rupee, the official currency of India, used across all states and territories. Also known as INR, it’s the only legal tender you’ll need for everything from street food to temple donations. Unlike in many Western countries, cash still rules in India, even in cities like Mumbai and Delhi. Credit cards work in hotels and big stores, but if you’re heading to a village market, a temple, or hopping on a local bus, you’ll need rupees in your pocket.

Most travelers get caught off guard by how much cash they need. A ₹2,000 note might seem huge, but it’s the most common bill you’ll get back as change. You’ll see ₹500, ₹200, ₹100, ₹50, ₹20, ₹10, ₹5, and ₹2 notes—and coins for smaller amounts. Don’t expect to find ₹10,000 notes; those were discontinued years ago. And watch out for fake bills. Real rupees have watermarks, security threads, and raised printing. If a vendor seems hesitant to take a ₹2,000 note, it might be fake. Always check before accepting big bills.

Exchange rates change daily, but as of 2025, $1 USD is roughly ₹83. That means ₹1,000 is about $12. That’s enough for three meals at a local eatery, or a day’s worth of local transport. You can exchange money at airports, banks, or authorized exchange counters, but avoid street vendors. ATMs are everywhere in cities and towns, and they usually give you the best rate. Just make sure your card works internationally and your bank doesn’t charge crazy fees. Some travelers carry a small amount of US dollars as backup, but you’ll get a better rate exchanging dollars for rupees inside India than outside it.

Temple donations, auto-rickshaw fares, street food, and even small gifts are almost always paid in cash. You won’t need to carry thousands—₹5,000 to ₹10,000 per day is plenty for most travelers. Keep small bills handy for buses, tips, and chai. And never keep all your cash in one place. Split it between your wallet, a hidden money belt, and your hotel safe. If you’re heading to remote areas like the Himalayas or the Andaman Islands, plan ahead—ATMs are rare, and shops don’t take cards.

Understanding how Indian currency works isn’t just about money—it’s about respecting how daily life runs here. It’s the reason you can buy a handmade scarf for ₹300, pay ₹50 for a bus ride across town, or leave ₹100 as a donation at a temple without breaking your budget. It’s also why knowing where to get cash, how to spot a fake note, and how much to carry makes your trip smoother, safer, and more authentic. Below, you’ll find real traveler stories and practical tips on handling money in India—from avoiding scams in Delhi to paying for temple entry in Nagpur, from using ATMs in Goa to bargaining in Mumbai markets. No theory. Just what works.