Timeline

• around 1477
• [AH882, 2nd reign of Sultan Mehmed II] Introduction of a gold coin "Sultani (Altun)" in the standard of 129 pieces at 100 mishkals (150 Tabriz dirhams) fine gold
• around 1687
• [AH1099, reign of Sultan Suleiman II] Introduction of a silver coin "Piastre (Kuruş)" of 6¼ standard dirhams silver 0.600 fine
• around 1711
• [AH1124, reign of Sultan Ahmed III] Introduction of a gold coin "Zeri Mahbub" of 0.55 standard dirhams gold (unknown fineness)
• around 1834
• [AH1249, reign of Sultan Mahmud II] Introduction of improved circulation coinage:
  - 6, 3, 1½ Piastres of 3, 2, 1 Turkish dirhams silver 0.440 fine
  - 1, ½, ¼ Mahmudiye (Memduhiye) of ½, ¼, ⅛ Turkish dirhams gold 0.830 fine with a nominal ratio of 5 Mehmudiye = 100 Piastres.

Timeline

• 29.04.1840
• RD:17.02.1256
• Sultan's edict [Tashih-i ayar fermanı] on the introduction of new gold and silver coins; effective immediately (?)
• 25.08.1840
• [AH:26.06.1256] Government memorandum on the issuance of interest-bearing government bonds ("sehim kaimesi") by the Treasury; effective immediately
  - After January 1852, also non-interest-bearing bonds were issued.
  - From March 1862 onward, the bonds were withdrawn and exchanged against 40% specie and 60% interest bearing government debt certificate.
• 05.01.1844
• RD:24.10.1259
• Sultan's edict [Usul-ı cedide üzere tashih-i ayar] on the issuance of gold and silver coins based on the RD1256 edict; effective immediately (?):
  - Gold: Lira of 100 Piastres at 99 "Edict Piastres"; Silver: Mecidiye of 20 Piastres at 19²⁹⁄₆₄ "Edict Piastres".
  - Pre-edict coinage was foreseen to be withdrawn as bullion at a rate of 47½ Piastres per Turkish dirham fine gold and 3¹⁄₄₀ Piastres per Turkish dirham fine silver; this was not implemented.
• 05.01.1844
• [RD:24.10.1259] Start of issuance of the edict gold coinage (100 Piastres)
  - 22.05.1844 [RD:10.03.1260]: Start of issuance of the edict silver coinage (20 Piastres)
• 04.02.1863
• Contract between the Ottoman government and the London-based Ottoman Bank (founded on 24.05.1856) on the mandate for the central bank role as "Ottoman Imperial Bank" with the exclusive right to issue convertible banknotes; effective upon (re-)constitution of the bank on 03.06.1863.
  - 03.06.1863 [AH:15.12.1279]: Start of paper money issuance.
• 18.05.1874
• Convention between the Ottoman government and the Ottoman Imperial Bank on a mandate for the bank to take over the financial administration of the Ottoman empire; ratified 18.02.1875
• 1875-1881
• Financial crisis:
  - 06.10.1875: Government decision to unilaterally reduce debt service to 50%
  - August 1876: Start of issuance of government bonds ("kaime")
  - During 1878: Start of withdrawal of the bonds at market value
  - 26.03.1879: Fixed rate of the goverment bonds against specie at 25% of nominal value
  - 20.12.1881: Establishment of the Ottoman Debt Administration under European control.
• 05.01.1880
• RD:24.10.1295
• Sultan's decree on the transition to the gold standard based on the Lira of 100 Piastres (the silver coins were devalued to 19 Piastres per Mecidiye); effective 13.03.1880 [RD:01.03.1296]
• 25.01.1883
• RD:13.11.1298
• Demonetization of foreign coinage (like Maria Theresa Thaler)
• around 1899
• [RD1317] Start of issuance of "De Luxe" presentation coinage in gold (at 100 Piastres at 2.005 Turkish dirhams fine gold)
• 09.04.1916
• RD:26.03.1332
• Law [No. 406] on the unification of the Ottoman currency on the base of the gold standard; effective 14.04.1916 [RD:01.04.1332]

Valuation Regimes

• 1840-1880
• Metallic currency based on circulating gold and silver coins. Base weight was the Turkish dirham / 16 Karat at 3.207 grams.
• 1880-1914
• Metallic currency based on circulating gold coins. Base weight was the Turkish dirham / 16 Karat at 3.207 grams.
• 1914-1925
• Fixed against gold with variable rate for paper money (different for government notes and Ottoman Bank notes); the convertibility of paper money into specie was suspended on 03.08.1914

Timeline

• 12.02.1924
• Law on the issuance of subsidiary coins in the name of the Turkish Republic; effective immediately
• 10.03.1924
• Agreement between the government and the Ottoman Bank (the "Imperial" was to be dropped") on an extension of the central bank status until 01.03.1935; effective immediately
• 30.12.1925
• Law ["Mevcut Evrak-ı Nakdiyenin Yenileriyle İstibdaline Dair Kanun", No. 701] on the issuance of new state paper money (based on the Lira as unitof account); effective 12.01.1926
• 05.12.1927
• Start of currency exchange:
  - 05.12.1927: Start of issuance of the new paper money
  - 04.09.1928: Demonetization of the Ottoman paper money; Ottomansilver coins were tolerated until 05.02.1936.
• 20.02.1930
• Law ["Türk Parasının Kıymetini Koruma Hakkında Kanun", No. 1567] on the government's authority to take measures to stabilize the value of the currency; effective 25.02.1930
• 11.06.1930
• Law ["Merkez Bankası Kanunu" No. 1715] on the establishment of a central bank; effective upon constitution of the bank on 03.10.1931.
  - Banknote issuance began on 15.10.1937.
• 28.12.1937
• Law ["Devlet Hesaplarinda Liranin Esas İttihaz Edilmesi Hakkinda Kanun", No. 3290] on the sole legal tender status central bank notes; effective 01.06.1938.
  - Notes of the Ottoman Bank could be exchanged at the bank until 31.03.1948.

Valuation Regimes

• 1926-1930
• Variable rate
• 1930-1936
• Fixed rate against gold
• 1936-1946
• Fixed rate against British Pound; multiple rates after 1939
• 1946-1974
• Fixed rate against US Dollar
• 1974-2004
• Variable rate, highly inflationary during 1980-2000

Timeline

• 28.01.2004
• Law ["Türkiye Cumhuriyeti Devletinin para birimi", No. 5083] on the currency redenomination; effective 01.01.2005.
  - 04.04.2007: Government resolution [No. 11963] on the abolition of the "new (yeni)" in the denominations; effective 01.01.2009.
• 01.01.2005
• Start of currency exchange:
  - 01.01.2005: Start of issuance of the new banknotes and coins, denominated in "New Lira / New Piastre"
  - 31.12.2005: Demonetization of former currency
  - 01.01.2009: Start of issuance of banknotes and coins denominated in "Lira / Piastre"
  - 31.12.2009: Demonetization of the banknotes denominated in "New Lira" (subsidiary coins remained current).

Valuation Regimes

• 2005-
• Variable rate