The escudo was the currency of Portuguese India between 1958 and 1961. It was divisible into 100 centavos and was equal in value to the Portuguese escudo.

The escudo replaced the rupia at the rate of 1 rupia = 6 escudos. This was due to the respective values of the Indian rupee (to which the rupia was pegged) and the Portuguese escudo, with 1 rupee = 18 British pence and 1 escudo = 3 pence. After Portuguese India was annexed by the Republic of India in 1961, the escudo was replaced by the Indian rupee.

Coins were introduced in 1958 in denominations of 10, 30 and 60 centavos, 1, 3 and 6 escudos. The 10 and 30 centavos were struck in bronze, the others in cupro-nickel.

In 1959, notes were introduced by the Banco Nacional Ultramarino in denominations of 30, 60, 100, 300, 600 and 1000 escudos.