Ethiopia is actually the only country on the African continent that has never been anyone’s colony. Therefore, the culture, history and, of course, the Ethiopian currency is very interesting and original.
Despite the absence of a colonial past, Ethiopia is considered one of the poorest countries in the world.
Ethiopian currency: name
The national currency in this country is called the "birr." But he received such a name only in 1976, and earlier it was customary to call it the Ethiopian dollar. Another interesting fact is that until 1931 it was customary in the world community to call the country Abyssinia, although the Ethiopians themselves never identified themselves like that.
When the request of the Ethiopian emperor, expressed on behalf of the whole nation, was accepted, Abyssinia was renamed Ethiopia, and the national bank from the Bank of Abyssinia reincarnated as the Bank of Ethiopia. In connection with these changes in the history of the Ethiopian currency, two periods can be distinguished: Abyssinian (until 1931) and Ethiopian (from 1931 until today).
Short story
In the XVIII-XIX centuries. Ethiopians did not have their own currency, and Maria Theresa's thalers, which were then actively used in many regions of the world, as well as in trade, were in circulation.
For the first time, the original Ethiopian currency, the birr, began to be issued only in 1894. Then one birr was equated to a Maria Theresa's taler. In turn, the birr was divided into 20 gersh and 32 demons. Since 1915, in addition to metal coins, the Bank of Abyssinia began to issue paper banknotes as well. It is interesting that the word thaler was still used to denote the denomination in French.
In 1931, as noted above, a financial reform was carried out, during which not only the name of the Ethiopian currency was changed, but also the monetary system switched to the decimal system. From now on, one birr began to be subdivided into 100 metones.
In the period from 1936 to 1945. the birr was withdrawn from circulation, and the Italian lira replaced it, since fascist Italy occupied Ethiopia. After the defeat of Germany and Italy in World War II , the national currency was returned to the country.
Coins and Banknotes
Over the past 100 years, Ethiopia has repeatedly reissued metal coins. This happened in 1944 (1936), 1977 (1969), 2004-2005 (1996-1998). In parentheses are the years according to the Ethiopian reckoning, which is 7.5-8 years behind the European one.
It is worth noting that all the inscriptions are indicated exclusively in Amharic - the official, state language of Ethiopia.
As for banknotes, the inscriptions on them are also indicated only in the state language of the country.
Ethiopian Birr Course
Today, the birr is a fairly stable monetary unit. For one American dollar, you can get about twenty-three and a half birres, respectively, in one birr there are about 0.04 US dollars. If we compare the Ethiopian currency with the single European, then in one euro there will be almost 28 birons, that is, about 0.04 euros in one ETB.
In comparison with the Russian ruble, the birr looks somewhat more advantageous, since it is almost 2 and a half times higher than its value. For one ruble, you can get about 0.4 Ethiopian birr.
Exchange operations and cashless payments
As noted above, Ethiopia, although it was never a colony, and Addis Ababa is considered the center of Africa, the country's economy is in poor condition. This is a backward, agrarian state, where tourists do not often come. In this regard, currency exchange can be quite difficult. It is best to come here with dollars or euros. They can be exchanged at the airport, major hotels and some banks and other financial organizations.
In some places, you can also exchange British pounds or Canadian dollars, as well as several currencies of neighboring countries, but it is better not to bring any other banknotes here. Not only are there very few exchange points, but there are also almost no ATMs. Only in the capital of the country and some other major cities can you find ATMs or pay cashless in stores.
In the distance from large settlements about cashless payments and ATMs, many did not even hear. Therefore, deciding to visit this country, you should immediately take care of the question of how to exchange your money for local currency.
However, despite the fact that the country has a pronounced agrarian type of economy, a strong lag behind developed countries and an extremely low standard of living, some positive development trends are still observed. Tourism is becoming one of the important sectors of the economy, so the infrastructure aimed at improving the conditions for foreigners to stay in the republic has already begun to develop actively. This includes the emergence of new exchange offices and the development of the banking system.
Finally
Today Ethiopia is one of the most interesting countries in Africa. The original, authentic culture, incredible natural beauties and low cost of leisure in this country attract more and more tourists from different parts of the world.
In addition to the country's culture, the history of its money is also interesting. In Russia, and in many other countries, few people even know what the Ethiopian currency is called, since it is not in great demand on the world currency market.
Anyway, before going to any country, you need to find out everything about its monetary system in order to avoid possible problems with the exchange and payment of purchases and services. It is especially important to understand this issue when you are planning a visit to a country such as Ethiopia, since there are very few banks and almost no credit cards are accepted. If you take care of the financial matter in advance, then a visit to Ethiopia will be greatly facilitated.
The Ethiopian currency, like the country itself, has come a long historical way, so its history is no less interesting. The money of the country is the face of the nation. Someone may agree with this statement, while others may not, but the fact remains that money plays a very large role in any state.