Economics

What is the Currency of Kuwait?

The official currency of Kuwait is the Kuwaiti dinar.

Introduction

Kuwait was using the gulf rupee, which was equivalent to the Indian rupee. The Indian rupee had the same value with the one sterling pound. Kuwait dinar was launched in 1960 substituting the Indian rupee. The Kuwait dinar was then replaced during its invasion by the Iranians as substantial amount of banknotes were stolen by the attacking military groups. After the peace re-establishment and liberation to freedom, the Kuwait dinner was brought back as the country’s currency, with the previous notes, along with the stolen ones, being demonetized. The only coins used are 5, 10, 20, 50, and 100 fils.

History of Kuwait Currency

Kuwait has six series of printed banknotes. The first series was established after the declaration of the Kuwaiti monetary law in 1960. This law was used to launch the Kuwait currency board. This series existed between 1961 and 1982, and it consisted of the following denomination: ¼, ½, 1, 5, 10, and 20 dinars. The second series commenced just after the foundation of the central bank of Kuwait in 1969. The 10, ¼, and ½ dinar notes were introduced in November 1970 while the 1 and 5 dinar notes were pioneered in 1971. A third series was launched in February 1980 after the late Emir Jaber al-Ahmad al-Jaber al-Sabah came to power. Its domination consisted of ¼, ½, 1, 5, and 10 dinars. Later, in 1986, a 20 dinar note was brought to existence.

These notes were declared to be acceptable to the state of emergence posed by the invasion of Kuwait, although it was ruled to be invalid in 1991. A consequential amount of these banknotes were stolen by the Iraqi army, and were spotted on the international numismatic market. After restoration of peace from the attacking Iranians, a fourth series was issued on 24 March 1991 with the main aim of substituting the past rejected series as fast as possible, and ensuring the countries quick economic rejuvenation. This fourth series was issued as legal tender before being rendered invalid in February 1995.

The fifth series of Kuwait banknotes was launched on 3 April 1994. Very high technological intelligence, now standard, was incorporated in the making of the banknotes. The denomination of the fourth series was the same as those of the fourth series. The sixth series banknotes were brought to usage on 29 June 2014. Some of these notes are designed to be rough in order to be interpretable by the blind through touching.

Imagery Depicted on Kuwait Currency

These dominations contained the coat of arms and several images depicting the culture and other aspects of the country. The ¼ dinar contained an image of some young girls playing an ancient game, the ½ dinar visualized a young boy playing a traditional game, the 1-dinar note contained a water storage vessel, the 5-dinar note showed an oil refinery, and the 20-dinar note showed the central bank of Kuwait building. The government of Kuwait has used some of its banknotes for commemorative matters. For instance, the 1-dinar polymer banknote was launched in 1991 to celebrate Kuwait's freedom from Iraq.

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