New Delhi, Feb 7 (IANS) Prime Minister Manmohan Singh Sunday stressed that there should be no delay in investigating cases related to counterfeit currency and curbing the menace which has 'serious implications for our economy'.

'I would like to make a mention of the menace of counterfeit currency notes. There are indications that fake Indian currency notes are being printed and smuggled into India from outside our country,' said Manmohan Singh in his inaugural address at the chief ministers conference on internal security here.

'There is obviously a need for a coordinated approach by the central and state agencies to tackle this menace (fake currency notes), which has serious implications for our economy,' he said.

The prime minister regretted that there has been a 'reluctance to register the first information report' in some instances of recovery of fake currency.

'This has to be avoided and all such cases must be thoroughly investigated. The states could also designate a nodal agency to investigate cases of seizure or recovery of fake currency notes and set up a state level committee for continuous vigilance in the matter, as has been suggested by the ministry of home affairs,' he said.

Recovery of fake currency notes is fairly common in India and efforts are underway to step up vigil along the porous international border in the northeast, which is turning into a major route for smugglers to push forged currency notes into India.