Thursday, October 1, 2015

Kuwaiti Currency/Banknotes information

Logo courtesy to CBK
Modern paper banknotes have come a long way in the last few centuries, with most or nearly all of the countries across the world adopting it. After Kuwait's independence in 1961, the creation of its own paper banknote led to the first issue of banknotes (before that the Indian Rupee was used). Over the years, the responsibility of the issuance of banknotes and coins is that of the Central Bank of Kuwait. (CLICK HERE for the website). There has been a total of 6 issues till date. The currency of Kuwait is the Kuwaiti Dinar (KD) - (الكويتي دينار) (د.ك). The paper banknotes are divided into 6 denominations - Quarter Dinar (1/4), Half Dinar (1/2), One Dinar (1), Five Dinar (5), Ten Dinar (10) and Twenty Dinar (20).

The latest issue of the banknotes is the sixth which was put into circulation on 29 June 2014. (CLICK HERE for the article on the sixth issue on CBK website). The currency was revealed to public during the event which was held on 19 May 2014 and was taken in excitement in Kuwait as the fifth issue has been in circulation for the past 20 years since April 1994. (CLICK HERE for the article on the fifth issue on CBK website)
Sixth Issue - Photo Courtesy to CBK
The fifth issue of banknotes have successfully been in circulation for the past 20 years and was nearly removed from circulation during the first 2 months of the new - sixth issue. The initial process of removal of fifth issue banknotes was by a simple process. Since the circulation came into effect on 29 June 2014 (end of the month), the people receiving salary when withdrew from the ATMs received all new banknotes and initially all deposits into the bank was only the old banknotes (fifth issue). This was a successful idea but with little downsides as people who had loan amounts or bills to be deposited into the bank account could not deposit the new banknotes through the ATM. Therefore long queues were seen at the banks - at the tellers. Soon after that all the machines were able to take in the new banknotes also. By the 2 month deadline, nearly 80-90% of the old (fifth) issue banknotes were out of circulation.
Fifth Issue - Photo Courtesy to CBK
The Central Bank of Kuwait (CBK) will be officially withdrawing the Fifth issue of Kuwaiti Banknotes from circulation by 01/10/2015 (1st October 2015). What that means is that public cannot use the fifth issue currency for trading purposes or in depositing with the regular banks in Kuwait. (The funny thing is that by 15th September 2015 itself, no one was accepting the fifth issue) The life of the fifth issue is still for another 10 years in which if anyone that has a fifth issue banknote can exchange with the Central Bank of Kuwait. For any kind of damage banknotes and exchange of banknotes can be done at the Banking Hall of the Central Bank of Kuwait.
Photo Courtesy to Central Bank of Kuwait - Arabian Gulf street - Kuwait City
The internet has a lot of articles and blog posts with regard to the new banknotes. I still remember people around Kuwait showing off the new banking notes on the 29th June 2014. Lots of comments about how the new banknotes were different and might not look good, but now everyone is using it daily without any issue and nearly have forgotten the old. The video below is presented by the Central Bank of Kuwait about the new banknotes and was video was created with the help of Cinemagic.
Unveiling of Kuwait's new banknotes (In English)
CLICK HERE if the above embedded video does not work

CLICK HERE to watch Unveiling of Kuwait's new Banknotes in Arabic.

BBC covered a story about the company responsible for printing of the New Kuwaiti Banknotes (6th Issue). I came to know that the banknotes have atleast 25 security features out of which few were mentioned to the public and across Kuwait Business. Some of the features have been reserved by Central Bank of Kuwait to thwart counterfeiters.
CLICK HERE if the above embedded video does not work

References & others discussing about the new banknotes.
  • CLICK HERE for the Central Bank of Kuwait website
  • CLICK HERE for the New banknotes at CBK website
  • CLICK HERE for the video by Cinemagic in Vimeo created for CBK
  • CLICK HERE for the post by Kuwaitiful about the new banknotes
  • CLICK HERE for the post by Kuwaitiful about the designers of the new banknotes
  • CLICK HERE for the post by 248am 
  • CLICK HERE for the post by q8path
  • CLICK HERE for the article in Kuwait Times
  • CLICK HERE for the article in IndiansinKuwait
  • CLICK HERE for the post by TheTrendin
  • CLICK HERE for the article by Peter Symes
  • CLICK HERE for the wikipedia page about Kuwaiti Dinar
  • CLICK HERE for the Quartz article - New KD 10 wins third place
  • CLICK HERE for the bank notes - old and new - view
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