Time Period: 1890-1926 (AH:1308-1343 / SH:1269-1305)

Currency: Afghan Rupee


Timeline

  • around 1890
  • (AH1308) Emir's decree declared the silver Rupee of Kabul as the nation-wide standard and the establishment of a central mint in Kabul
    - Silver coin issuance in units of the Rupee began in 1890 (AH1308)
    - Gold coin issuance began in 1891 (AH1309), denominated "Tilla" at a nominal value of 10 Rupees but were traded at bullion as no fixed gold-to-silver ratio had been established.
  • around 1919
  • (SH1298) Start of issuance of paper money by the Treasury to substitute the circulating silver; did not circulate widely due to lack of public acceptance
  • 1928-1929
  • (AH1347-1349) Restoration of the Rupee standard under the government of Habibullah Kalakani (the Usurper) instead of the Afghani that was introduced two years earlier

Valuation Regimes

  • 1890-1926
  • Metallic currency based on circulating silver coins, additional gold coins without fixed rate against silver. Base weight was the Kabul mishkal / 24 nokhud at 4.6 grams.

Rate Arrangements

  • ??.??.1890
  • Metallic
  • Rupee: 8'280.00mg AG fine; Gold bullion "Tilla": 4'140.00mg AU fine
  • Rupee at 2 Kabul mishkal of 0.900 silver; Tilla at 1 Kabul mishkal of 0.900 gold


Time Period: 1926-2002 (AH:1343-1423 / SH:1305-1381)

Currency: 1st Afghan Afghani


Timeline

  • 14.03.1926
  • SH:23.12.1304
  • Law on the creation of the new currency; effective 21.03.1926 (SH:01.01.1305)
  • around 1926
  • Start of issuance of the new coinage dated AH1304; unknown if the earlier Rupee coins were demonetized or disappeared gradually
  • 09.05.1933
  • SH:19.02.1312
  • Establishment of the privately owned Afghan National Bank (Bank Millie) out of the Afghan Stock Company (Sherkate Sahami), founded in 1930 (SH1309)
  • 26.10.1935
  • SH:04.08.1314
  • Law on the issuance of paper money by the Ministry of Finance, facilitated by the Bank Millie; effective immediately (?), and issuance began in 1936 (SH1315)
  • around 1936
  • (AH1315) Start of issuance of bullion coins without denominations in units of 8, 4 grams 900 gold
  • 11.09.1939
  • SH:19.06.1318
  • Law [No. 11] on the establishment of the Bank of Afghanistan as state-owned central and commercial bank; effective by royal assent [No. 5280/1317] of 07.02.1940 (SH:17.11.1318).
    - 03.03.1958 (AH:13.08.1377): Law on the separation of the central and commercial bank functions; effective 16.06.1961 (AH:01.01.1381)

Valuation Regimes

  • 1926-1935
  • Metallic currency based on circulating silver and gold coins. Due to debasing of silver, gold was rather traded as bullion.
  • 1935-1940
  • Fixed rate against Indian Rupee as set by Bank Millie (National Bank).
  • 1940-1949
  • Variable rate around the former fixing against the Indian Rupee, the base currency informally switched to the US Dollar.
  • 1949-1993
  • Fixed official rate against US Dollar, economic activities mostly at either special rates for certain goods or at effective market ("bazaar") rates.
  • 1993-1996
  • Central Bank switched from the inoperative official rate to the variable "commercial export rate". Paper money was (supposedly) issued by rivalling factions in the civil war.
  • 1996-2002
  • Central Bank re-introduced the official fixed rate. Economic activities mostly at effective market ("bazaar") rates. The effective rate strongly inflated in the late 1990s and in particular after the US-led invasion.

Rate Arrangements

  • 21.03.1926
  • Metallic
  • Afghani: 9'000.00mg AG fine; Gold bullion "Amani": 5'400.00mg AU fine
  • Afghani at 10 grams 0.900 silver; Amani (nominally of 20 Afghani) at 6 grams 0.900 gold
  • 26.10.1935
  • Fixed
  • Indian Rupee at 1 : 4
  • -
  • ??.??.1940
  • Fixed
  • US Dollar at 1 : 13
  • +1.8%
  • ??.04.1947
  • Fixed
  • US Dollar at 1 : 13.44
  • -3.3%
  • 23.12.1948
  • Fixed
  • US Dollar at 1 : 14.17
  • -5.2%
  • 01.10.1949
  • Fixed
  • US Dollar at 1 : 16.80
  • -15.7%
  • 24.10.1956
  • Fixed
  • US Dollar at 1 : 20
  • -16.0%
  • 23.03.1963
  • Fixed
  • US Dollar at 1 : 45 - [Gold parity] 19.75mg AU fine
  • -55.6%
  • 21.03.1979
  • Fixed
  • US Dollar at 1 : 50.60
  • -11.6%
  • 12.08.1993
  • Variable
  • initially: US Dollar at 1 : 1'400 - Commercial Rate
  • -96.4%
  • 07.12.1996
  • Fixed
  • US Dollar at 1 : 4'750
  • -


Time Period: 2002- (SH:1381-)

Currency: 2nd Afghan Afghani


Timeline

  • 04.09.2002
  • SH:13.06.1381
  • Currency law; effective 07.10.2002
  • 07.10.2002
  • Start of currency exchange:
    - 07.10.2002: Start of issuance of the new banknotes and coins
    - 02.01.2003: Demonetization of the former currency
    - Partial confiscation in the territories held by the Northern Alliance: the currency exchange occured at the reduced rate of 1 : 2'000 on grounds of the (supposed) wide-spread counterfeiting.

Valuation Regimes

  • 2002-2005
  • Fixed rate against US Dollar
  • 2005-
  • Central Bank switched to variable exchange rate

Rate Arrangements

  • 07.10.2002
  • Fixed
  • US Dollar at 1 : 47.50
  • -90.0%
  • 11.02.2005
  • Variable
  • initially: US Dollar at 1 : 42.785
  • +11.0%


End-year Forex Rates (Units per US Dollar)