WANA (Mar 21) – Today, on the first day of Farvardin( March 21), marks the 93rd anniversary of the printing of the first banknote by Bank Melli Iran, which took place in 1932.

 

The history of banknote printing in Iran dates back to the 13th century during the Ilkhanate rule. At that time, Ghazan Khan’s successor, Ghiyath al-Din Khwajeh Khatun, faced a financial crisis. To address the issue, he and his vizier, Khwaja Sadr al-Din Ahmad Khalidi Zanjani, adopted the idea of paper money from China, known as Chao, on the advice of their consultant, Izz al-Din Muzaffar. However, this attempt met strong resistance from the Iranian people, leading to riots in Tabriz, ultimately causing the system to fail.

 

Five centuries later, in 1797, during the reign of Fath-Ali Shah Qajar, banknotes were introduced into Iran’s economy for the first time, backed by gold and silver reserves.

The issuance of banknotes in Iran has undergone three distinct phases: from 1889 to 1930, from 1930 to 1960, and from 1960 onward.

 

In the first phase, the Imperial Bank of Persia, established in 1889, held the monopoly on banknote printing and circulation. It issued notes featuring the portrait of Naser al-Din Shah and distributed them throughout the country. To combat counterfeiting, a second series of banknotes was introduced during this period.

 

In the second phase, in 1930, the Iranian Parliament revoked the Imperial Bank’s authority over banknote issuance, transferring this responsibility to Bank Melli Iran. That same year, the first Bank Melli banknotes featuring the portrait of Reza Shah were introduced. Additionally, the national currency unit changed, and one rial was defined as equivalent to 100 dinars.

The third phase began in 1960 with the establishment of the Central Bank of Iran, which took over the responsibility for printing banknotes. During this period, banknotes were issued bearing the signatures of the Minister of Finance and the Governor of the Central Bank, and some were printed abroad.

 

After the 1979 Islamic Revolution, the Central Bank of the Islamic Republic of Iran issued its first series of banknotes, replacing the portrait of Mohammad Reza Shah with other significant cultural and religious figures.

 

Today, Iranian banknotes are printed in various denominations, predominantly featuring images of Imam Khomeini. Meanwhile, electronic banking cards have increasingly replaced cash in many financial transactions.