Inaugurating the new headquarters of the National Investigation Agency (NIA) here, he said no civilised country can accept the rise of terrorism on its soil.
He also termed terrorism as a "curse" that no civilised country can accept.
"Fake currency contributes to the rise of terrorism and high quality fake currency notes act as oxygen for terrorism," he said.
Mr Singh said terrorism was a hurdle to development and the NDA government has been taking strong action against the menace.
The Home Minister said India has taken remarkable steps to highlight the menace of terrorism in the international forums and Prime Minister Narendra Modi has succeeded in bringing international community on board on the issue.
Referring to the ongoing probe by the NIA on funding to terrorism in Jammu and Kashmir, Mr Singh said the action has put hurdle in the flow of funds to the militants and their morale was hit badly.
Complementing the NIA's role in curbing terror acts in the country, the Home Minister said gathering evidence in terror cases was a challenging job and that in 95 per cent of such cases, the accused get convicted.
He said the NIA has been getting full cooperation from central and state agencies in its task.
"The NIA has established its credibility and impartiality in last eight years through professional and scientific investigation," he said.
Mr Singh said the Home Ministry has allowed the NIA to take decisions in administrative matter on its own as it is an autonomous body.