Finance:Islamic State dinar
| دينار ذهبي (Arabic) | |
|---|---|
 Dinar coins from an ISIL propaganda video, 2014[1] | |
| Denominations | |
| Banknotes | None |
| Coins | 1, 5 dinars 1, 5, 10 dirhams 10, 20 fulûs |
| Demographics | |
| Replaced by | Iraqi dinar and Syrian pound |
| User(s) |  Islamic State |
| Issuance | |
| Central bank | Diwan Bayt al-Mal[2] |
| This infobox shows the latest status before this currency was rendered obsolete. | |
The Islamic State dinar (Arabic: دينار الدولة الإسلامية), or simply the gold dinar,[1] was the official currency of the Islamic State from 2014 to 2019. Subdivided into dirhams and fulûs, it was modelled after the historical gold dinar that was first introduced in the Muslim world during the time of the Umayyad Caliphate. In 2016, one Islamic State dinar had an effective exchange rate of US$190 or GB£91, though it did not gain traction outside of the Middle East due to the Islamic State conflict, as the international community did not recognize the Islamic State's sovereignty and designated it as a terrorist organization.[3][4]
Background
The Islamic State (IS) broke off from al-Qaeda in 2013, establishing itself as the Islamic State of Iraq and Syria (or the Levant), and then simply as the Islamic State in June 2014.[5] By 2015, it controlled a large amount of territory in both countries, declaring itself as a caliphate and planning to absorb other territories of the Muslim world. However, none of the United Nations member states recognized the Islamic State's sovereignty; it was instead widely designated as a terrorist organization by the international community.
Minting and distribution
In a 2014 issue of the online IS magazine Dabiq, the organization announced that it was preparing to mint an independent currency based on the one used in the historical caliphates.[6] A design of coins made of gold, silver, and copper was subsequently published. In the 2015 video The Rise of the Khilafah and the Return of the Gold Dinar, IS announced that these coins were set for release.[1][7] The planned exchange rate to the United States dollar was approximately US$139. A number of analysts stated that the organization was motivated to produce such a currency for pan-Islamic propaganda purposes or for emphasizing the sovereign statehood of the so-called IS caliphate, or both.[8] According to IS media, however, the organization's intent behind the coinage was to allow the Muslim world to be economically independent, particularly with regard to the financial influence of the Western world.[9] In 2015, Turkish authorities discovered an underground IS minting facility in Şahinbey, a town near Gaziantep, close to the Syrian border.[10][11][12]
Despite the extensive promotion of the IS gold dinar, the currency saw limited circulation. It was almost exclusively used in those parts of IS-controlled territory where it was forbidden to use other currencies.[13] By 2019, as the IS quasi-state collapsed, the gold dinar was replaced by the Iraqi dinar and the Syrian pound.[14]
Coinage
A series of coins divided between gold dinars, silver dirhams, and copper fulûs were released, seeing limited circulation in Syria, with locals' Syrian pounds being taken away and replaced with the dinar in some regions.[15]
There have also been reports that indicate that the coinage publicized by the group has differed greatly in terms of actual circulation.[16][17]
Characteristics
| Image | Value | Diameter (mm) | Thickness (mm) | Mass (g) | Composition | Edge | Obverse | Reverse |
|---|---|---|---|---|---|---|---|---|
|
5 dinars | 29 | 2.3 | 21.25 | Gold | Reeded | Inscription and issuer | World map; value; year of minting |
|
1 dinar | 19 | 1.15 | 4.25 | Gold | Reeded | Inscription and issuer | 7 ears of wheat; value; year of minting |
|
10 dirhams | 38 | 2.4 | 20 | Silver | Reeded | Inscription and issuer | Al-Aqsa Mosque of Jerusalem; value; year of minting |
|
5 dirhams | 26 | 1 | 10 | Silver | Reeded | Inscription and issuer | Umayyad Mosque of Damascus; value; year of minting |
|
1 dirhams | 18 | 1 | 2 | Silver | Reeded | Inscription and issuer | Spear and shield; value; year of minting |
|
20 fulûs | 37 | 2.6 | 20 | Copper | Smooth | Inscription and issuer | 3 date palms; value; year of minting |
|
10 fulûs | 29 | 3 | 10 | Copper | Smooth | Inscription and issuer | Islamic crescent; value; year of minting |
See also
- Territory of the Islamic State
- Finances of the Islamic State
- Terrorism financing
References
- ↑ 1.0 1.1 1.2 "The Rise of the Khilafah and the Return of the Gold Dinar". Islamic State. 2015. https://archive.org/details/TheRiseOfTheKhilafahAndTheReturnOfTheGoldDinar_201509.
- ↑ Sabah, Alexander, Zaid, Caroline (2015-08-29). "Islamic State Flips Gold Coins to Break Fed 'Enslavement". https://www.bloomberg.com/news/articles/2015-08-29/islamic-state-finds-gold-coins-are-a-steal-as-throwback-currency.
- ↑ "El Estado Islámico ya tiene su propia moneda oficial". Minuto Uno. 2016-07-09. https://www.minutouno.com/mundo/estado-islamico/el-ya-tiene-su-propia-moneda-oficial-n1496995.
- ↑ Staufenberg, Jess (2015-09-02). "Isis shows off currency with gold dinar coins worth £91 each - in quest for 'world domination'". The Independent. https://www.independent.co.uk/news/world/middle-east/isis-shows-new-currency-gold-dinar-coins-worth-ps91-each-quest-world-domination-10480121.html.
- ↑ Dearden, Lizzie (2016-09-27). "Isis vs Islamic State vs Isil vs Daesh: What do the different names mean – and why does it matter?". The Independent. https://www.independent.co.uk/news/world/middle-east/isis-vs-islamic-state-vs-isil-vs-daesh-what-do-different-names-mean-9750629.html.
- ↑ Dabiq. Islamic State of Iraq and the Levant. 2014. pp. 19.
- ↑ Moos, Olivier (2018-12-23). "The Return of the Gold Dinar – An analysis of the Islamic State coin production". https://english.religion.info/2018/12/23/the-return-of-the-gold-dinar-an-analysis-of-the-islamic-state-coin-production/.
- ↑ Starck, Jeff (2014-11-17). "Can ISIS issues [sic its own coins?"]. https://www.coinworld.com/news/world-coins/2014/11/can-isis-issues-its-own-coins--.html.
- ↑ "Some coins should be off-limits to collectors". https://www.coinworld.com/voices/bill-gibbs/2015/12/some_coins_shouldbe.html.
- ↑ Mortimer, Caroline (2015-10-08). "Secret printing presses making Isis currency seized by Turkish police". The Independent. https://www.independent.co.uk/news/world/middle-east/isis-currency-six-arrested-after-secret-printing-presses-making-coins-found-after-raid-turkish-police-a6685681.html.
- ↑ Smith, Hannah Lucinda (2015-10-08). "Turkish police raid illicit mint making Isis currency". The Times. https://www.thetimes.co.uk/article/turkish-police-raid-illicit-mint-making-isis-currency-htwx99q3sv5.
- ↑ "Turkey arrests six over 'minting coins for ISIS'". The Straits Times. 2015-10-07. https://www.straitstimes.com/world/middle-east/turkey-arrests-six-over-minting-coins-for-isis.
- ↑ 1NS1DE: Inside the Khilafah (in العربية). Al-Hayat Media Center. 2017.
- ↑ "ISIS introduces 'Golden Dinar' currency, Hopes it will collapse U.S. dollar". 6 July 2016. http://www.foreigndesknews.com/world/middle-east/isis-introduces-golden-dinar-currency-hopes-will-collapse-u-s-dollar/.
- ↑ "ISIS introduces 'Golden Dinar' currency, Hopes it will collapse U.S. dollar". 6 July 2016. http://www.foreigndesknews.com/world/middle-east/isis-introduces-golden-dinar-currency-hopes-will-collapse-u-s-dollar/.
- ↑ "NEW IMAGES OF ISIS COINAGE". 2018-02-04. https://www.coinbooks.org/v21/esylum_v21n05a24.html.
- ↑ "AN ANALYSIS OF ISIS COIN PRODUCTION". 2018-12-30. https://www.coinbooks.org/v21/esylum_v21n52a10.html.
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