1 Ngultrum

Bhutan's first modern banknote series, introduced in 1974, replaced a system of barter and coin that had operated without paper currency well into the twentieth century. The Royal Government turned to the Security Printing Press at Nasik — the same Indian government facility that produces Indian rupee notes — a practical choice given Bhutan's close financial relationship with India and the absence of any domestic printing infrastructure.

The Indian rupee remained legal tender in Bhutan alongside the ngultrum at par, a currency arrangement that continues to this day. P#1 is the lowest denomination of that inaugural series and the first Pick-listed note for the country.