Tenge is the national currency of Kazakhstan, which has been circulating on the territory of the republic since 1993. At many international banknote exhibitions, the national bank of the country has repeatedly received awards for the best design and degree of protection of tenge. The paradox is that at its highest level of protection, the currency, according to the results of 2015, is considered the most cheaper in Europe.
Background
The very name “tenge” was received in the early Middle Ages, when money called “tanga” was used in Kazakhstan and Central Asia . Later, the word “money” appeared among the peoples of Eastern Europe, which also means currency. And today everyone understands the word "money" has not changed its historical meaning.
The history of the creation of the national currency of Kazakhstan begins in 1990. At that time, the ruble of the Soviet Union was in circulation in the republic. To make the republic’s financial system more independent from Moscow, President Nursultan Nazarbayev, together with the Supreme Council of the Kazakh SSR, created a law that controls the entire banking system of the country.
This happened in December 1990. From that moment, the transition to market relations began with the still existing planned economy of the USSR. All banks were divided into two categories: the Kazakhstan branch of the USSR State Bank belonged to the first, and the second level included several commercial banks conducting an independent policy. However, there was one thing. The country did not have its own currency, so some restrictions on the freedom of action of the financial system of Kazakhstan still existed. The dependence was on the ruble and the State Bank of the USSR.
New project
Under such conditions, N. Nazarbayev instructed to begin preparing the tenge. The currency was supposed to replace the ruble. A state commission on national currency was created, headed by S. Tereshchenko, who was then prime minister. All documentation was handled by D. Sembaev and his team. The daily control of everything that happened was carried out personally by the president.
Designers have proposed to immortalize historical figures and architectural monuments on currency. It was even suggested on one of the banknotes to depict N. Nazarbayev, to which he replied with a categorical refusal.
The working group studied a huge amount of information that reveals the entire experience of introducing national currencies in many countries of the world, including the CIS countries. A whole package of reforms was prepared, affecting the areas of politics, economics and finance. The National Bank has prepared 18 documents regulating the reform process. This was a truly complicated process, which required great attention and intellectual capabilities from the country's leadership.
Historical moment
The preparatory work was completed in the summer of 1993. Printing banknotes decided to produce in the UK. Harrison and Sons is the company that completed this order. All operations were carried out in strict secrecy. 4 aircraft IL-86 made 18 flights to England and back. According to all documents, information was passing that aircraft carried construction equipment. Coins were ordered in Germany. On the territory of Kazakhstan, special underground bunkers were prepared to store new currency.
On the eve of the introduction of tenge, the President of Kazakhstan addressed the people personally . The exchange of old rubles in tenge began on November 15, 1993 at 8:00, and ended on November 20 of the same year at 20:00. Over 6 days, more than 950 billion rubles were withdrawn from circulation. The exchange rate (ruble to tenge) was 500: 1.
Thus, on November 15, 1993, a historical event occurred: tenge was introduced - the currency of independent Kazakhstan.
Tenge: a reflection of history
Banknotes with face values of 1, 3, 5, 10, 20, 50, 100, 200, 500 tenge were put into circulation. In addition, 1 tenge was equal to 100 tiyins, therefore, tiyins were in circulation for some time.
As expected, on the first banknotes the obverse reflected the historical personality against the background of nature; on the reverse, architectural monuments with elements of nature were depicted. Initially, the maximum face value was 500 tenge. Banknotes worth 1000 tenge were put into circulation in 1995, 2000 in 1996, and 5000 in 1998. Such historical figures were depicted as S. Valikhanov, S. Aronuly, Kurmangazy, A. Kunanbaev, al Farabi, khans Abylay and Abulkhair.
Degree of protection
Tenge is the currency of Kazakhstan, which has one of the most effective sets of degrees of protection in the world. There are 17 of them. Some began to be used for the first time in world practice, such as, for example, the anti-copying element, iris print, gold intaglio, etc. This led to the fact that many currencies of developed and developing countries adopted the practice of Kazakhstan. What is tenge, whose currency is this - many have learned.
From the history of devaluations
All currencies in the world tend to depreciate, tenge is no exception. For the first year of existence, inflation amounted to 1158%, the next year - 60%. The smallest inflation rate was recorded in 1998 and amounted to about 2%.
Amid falling oil prices, most of the currencies of exporting countries began to fall in price. Tenge affected it like no other currency. In 2015, tenge was recognized as the most depreciated currency in Europe. For comparison: at the beginning of the summer of 2015, 1 USD cost an average of 150 tenge, and by the end of summer - the beginning of autumn of the same year - already 190. At the beginning of 2016, the rate was 380-390 tenge per 1 dollar.
Thus, the history of the medieval words "tanga", "tenge", "danga" was transferred to the modern world, where it continues tenge - the currency of modern Kazakhstan.