The history of the Rupee traces back to the Ancient India in circa 6th century BC. Ancient India was the earliest issuers of coins in the world, [2] along with the Chinese wen and Lydian staters.

There is no evidence of transmission to Indo-Aryan from Dravidian and textual evidence dates to well before any references in the later Dravidian. Arthashastrawritten by Chanakyaprime minister to the first Maurya emperor Chandragupta Maurya c. Sher Shah Suri, during his five-year rule from toset up a new civic and military administration and issued a coin of silver, weighing grainswhich was termed the Rupiya. The Indian rupee was a silver-based currency during much of the 19th century, which had severe consequences on the standard value of the currency, as stronger economies were on the gold standard.

During British rule, and the first decade of independence, the rupee was subdivided into 16 annas. Each anna was subdivided into either 4 paisas or 12 pies.

So one rupee was equal to 16 annas, 64 paises of pies. After a few years, the initial "naye" was dropped. For many years in the early and midth century, the Indian rupee was the official currency in several areas that were controlled by the British and governed from India; areas such as East Africa, Southern Arabia and the Persian Gulf.

Ancient India in circa 6th century BC, was one of the earliest issuers of coins in the world, along with the Chinese wen and Lydian staters. The first " rupee " is believed to have been introduced by Sher Shah Suri —based on a ratio of 40 copper pieces paisa per rupee.

In the intermediate times there is no fixed monetary system as reported by the Da Tang Xi Yu Ji. During his five-year rule from toSher Shah Suri set up a new civic and military administration and issued a coin of silver, weighing grainswhich was termed the Rupiya.

The British settlements in Western India, South Indiaand the Eastern Province of Bengal Calcutta independently developed different coinages in consonance with the local acceptability of the coins for the purposes of trade. There are many fake coins of East India Company, with Indian gods depicted on the obverse side as shown in side-bar. Original East India Company coins show only the coat of arms of the East India Company.

The coins of Bengal were developed in the Mughal style and those of Madras mostly in a South Indian style. The English coins of Western India developed along Mughal as well as English patterns. It was only in AD that the English obtained permission from the Emperor Farrukh Siyar to coin Mughal money at the Bombay mint.

The British gold coins were termed Carolina, the silver coins Anglina, the copper coins Cupperoon and tin coins Tinny.

By the earlythe English had become the dominant power in India. The Coinage Act of provided for uniform coinage throughout India. The new coins had the effigy of William IV on the obverse and the value on the reverse in English and Persian. The coins issued after bore the portrait of Queen Victoria.

USD to INR Exchange Rate - Bloomberg Markets

The first coinage under the crown was issued in and in Queen Victoria assumed the title the Empress of India. The gold silver ratio expanded during Unlike India, her colonial master Britain was on gold standard. To meet the Home Charges i.

History of the rupee - Wikipedia

The accession to the throne of the King-Emperor George V led to the famous "pig rupee". On the coin, the King appeared wearing the chain of the Order of the Indian Elephant.

Through poor engraving, the elephant looked very much like a pig. The Muslim population was enraged and the image had to be quickly redesigned.

Acute shortage of silver during the First World Warled to the introduction of paper currency of One Rupee and Two and a half Rupees. The silver coins of smaller denominations were issued in cupro-nickel.

The compulsion of the Second World War led to experiments in coinage where the standard rupee was replaced by the "Quaternary Silver Alloy". The Quaternary Silver coins were issued from In these were replaced by pure Nickel coins.

Immediately after independence, the British coinage was continued. The Monetary System remained unchanged at One Rupee consisting of 64 pice, or pies. The "Anna Series" was introduced on 15 August The King's Portrait was replaced by the Ashoka's Lion Capital.

A corn sheaf replaced highest currency rate vs indian rupee Tiger on the one Rupee coin. The monetary system was retained with one Rupee consisting of 16 Annas. The Indian Coinage Amendment Act, that woodstock market portland into force with effect from 1 Aprilintroduced a "Decimal series".

The rupee was now divided into 'Paisa' instead of 16 Annas or 64 Pice. The "Naye Paise" coins were minted in the denominations of 1, 2, 5, 10, 20 and 50 Naye Paise.

Both the Anna series and the Naye Paise coins were valid for some time. With high inflation in the sixties, small denomination coins which were made of bronze, nickel-brass, cupro-nickel, and aluminium - bronze were gradually minted in Aluminium. This change commenced with the introduction of the new hexagonal 3 paise coin. A twenty paise coin was introduced in but did not gain much popularity. Over a period, cost-benefit considerations led to the gradual discontinuance of 1, 2 and 3 paise coins in the s.

Stainless steel coinage of 10, 25 and 50 paise, was introduced in and of one rupee in The very considerable costs of managing note issues of Re 1, Rs 2, and Rs 5 led to the gradual coinisation of these denominations in the s. Since its Independence inIndia has faced two major financial crises and two consequent devaluations of the rupee: In and A summary of the decimalisation of the Rupee: The price of 16 Annas is 1 rupee in The demand for decimalisation existed for over a century.

Sri Lanka decimalised its rupee in The Indian Coinage Act was amended in September for the adoption of a decimal system for coinage. The Act came into force with effect fxcm futures trading 1 April The rupee remained unchanged in value and nomenclature.

Highest currency rate vs indian rupee, however, was now divided into ' Paisa ' instead of 16 Annas or 64 Pice. For public recognition, the new decimal Paisa was termed 'Naya Paisa' until 1 June dollar to rupee exchange rate today icici the term 'Naya' was dropped.

The coins of that period also mentioned their value in terms of the rupee to avoid paper trading commodity futures and cheating. For example, the one paisa coin carried the text "One hundredth of a Rupee" in Hindi.

FromIndia ran continued trade deficits that increased in magnitude in the what is the difference in the binary options brokers. Furthermore, the Government of India had a budget deficit problem and could not borrow money from abroad or from the private corporate sector, due to that sector's negative savings rate.

As a result, the government issued bonds to the RBI, which increased the money supply, leading to inflation. Inforeign aid, which had hitherto been a key factor in preventing devaluation of the rupee, was finally cut off and India was told it had to liberalise its restrictions on trade before foreign aid would again materialise.

The response was the politically unpopular step of devaluation accompanied by liberalisation. Furthermore, The Indo-Pakistani War of led the US and other countries friendly towards Pakistan to withdraw foreign aid to India, which necessitated more devaluation. At the end ofthe Indian Rupee was trading at around 13 British pence [ clarification needed ]. A decade later, byit was trading at around 6 British stock options share split. Finally, by the end ofthe Indian Rupee had plunged to an all-time low of 3 British pence.

This triggered a wave of irreversible liberalisation reforms away from populist measures. InIndia still had a fixed exchange system, where the rupee was pegged to the value of a basket of currencies of major trading partners.

India started having balance of payments problems sinceand by the end ofit found itself in serious economic trouble. As inIndia faced high inflation and large government budget deficits. This led the government to devalue the rupee. In late black yorkie poo puppies for sale in nj, the Indian Rupee reached a record high of Rs. This posed problems for major exporters, IT and BPO firms located in the country who were incurring losses in their earnings given the appreciation in rupee.

The trend has reversed lately with the world financial crisis as Foreign investors transferred huge sums out to their own countries. Such appreciations were reflected in many currencies, e.

Due to stagnant reforms, and declining foreign investment, rupee started depreciating in the early He was of the view that, the present depreciation is partly led by global factors as well as domestic factors. He also asked the political parties to help his Government, tide over the crisis that the country was facing with rupee losing its value. Notes issued by the Bank of Bengal can be categorised in the following three series.

The Paper Currency Act of gave the Government the monopoly of note issue throughout the vast expanse of British India, which was a considerable task. Eventually, the management of paper currency was entrusted to the Mint Masters, the Accountant Generals and the Controller of Currency. The Reserve Bank of India was formally inaugurated on Monday, 1 April with its Central Office at Calcutta. Section 22 of the RBI Act,empowered it to continue issuing Government of India notes until its own notes were ready for issue.

The bank issued the first five rupee note bearing the portrait of George VI in This was followed by Rs. The first Reserve Bank issues were signed by the second Governor, Sir James Taylor.

In Augustthe one-rupee note was reintroduced as a wartime measure, as a Government note with the status of a rupee coin. During the war, the Japanese produced high-quality forgeries of the Indian currency. This necessitated a change in the watermark. The profile portrait of George VI was changed to his full frontal portrait.

The security thread was introduced for the first time in India. The George VI series continued till and thereafter as a frozen series till when post-independence notes were issued. Following the Independence of India the Government of India brought out the new design Re. Initially, it was felt that the King's portrait be replaced by a portrait of Mahatma Gandhi. Finally, however, the Lion Capital of Ashoka was chosen. The new design of notes were largely along earlier lines.

InHindi was displayed prominently on the new notes. The economic crisis in late s led to a reduction in the size of notes in High denomination notes, like Rs. The first " Mahatma Gandhi Series " was introduced in Prominent new features included a changed watermark, windowed security thread, latent image and intaglio features for the visually handicapped.

The Indian Rupee and British Pound Sterling were historically exchanged based on the gold silver ratio. From Wikipedia, the free encyclopedia. Indian coinageBritish Indian coinsand Modern Indian coins. Pakistani rupeeFrench Indian rupeePortuguese Indian Rupiaand Gulf rupee. Five-rupee note from Hyderabad. Retrieved on 4 May Tale of Two Years, and " http: Tale of Two Years, and " PDF. Retrieved 4 September Centre for Civil Society.

Retrieved 19 August Retrieved 15 April Currencies named rupee or similar. History of the rupee Nepalese mohar. Retrieved from " https: Rupee Currencies of India Currencies of Pakistan Economic history of India History of money.

Pages using web citations with no URL Wikipedia articles needing clarification from July Articles containing Hindi-language text Articles containing Dhivehi-language text Articles containing French-language text Articles containing Nepali-language text Articles containing Urdu-language text Articles containing non-English-language text Articles containing Sinhalese-language text Articles containing Arabic-language text Articles containing Marathi-language text Articles containing Telugu-language text Articles containing Japanese-language text Use dmy dates from December Use British English from December Navigation menu Personal tools Not logged in Talk Contributions Create account Log in.

Views Read Edit View history. Navigation Main page Contents Featured content Current events Random article Donate to Wikipedia Wikipedia store. Interaction Help About Wikipedia Community portal Recent changes Contact page. Tools What links here Related changes Upload file Special pages Permanent link Page information Wikidata item Cite this page. This page was last edited on 20 Juneat Text is available under the Creative Commons Attribution-ShareAlike License ; additional terms may apply.

By using this site, you agree to the Terms of Use and Privacy Policy. Privacy policy About Wikipedia Disclaimers Contact Wikipedia Developers Cookie statement Mobile view. Crowned bust of Queen Victoria. Face value, country and date. Coin made of