Israeli new shekel

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New Israeli shekel
NIS
hSHtrvt hKHdSHym SHl ySHrAl.jpg
New shekel banknotes (Current Series C)
ISO 4217
CodeILS (numeric:376)
Subunit 0.01
Unit
Unitshekel
Plural
  • shekels
  • sheqalim
Symbol
Denominations
Subunit
1100 agora
Plural
agora
  • agoras
  • agorot
Banknotes ₪20, ₪50, ₪100, ₪200
Coins10 agorot, ₪12, ₪1, ₪2, ₪5, ₪10
Demographics
Replaced Old Israeli shekel
Official user(s)Flag of Israel.svg  Israel
Unofficial user(s)Flag of Palestine.svg  Palestinian Authority [1]
Issuance
Central bank Bank of Israel
Website boi.org.il
Printer Orell Füssli [2]
Mint KOMSCO [3]
Valuation
Inflation Decrease Positive.svg-0.59% (2020)
Increase Negative.svg0.35% (2021 est.)
Source Bank of Israel, Statista, April 2021

The new Israeli shekel (Hebrew : שֶׁקֶל חָדָשׁ, romanized: sheqel ẖadash, pronounced [ˈʃekelχaˈdaʃ] ; Arabic : شيكل جديد, romanized: šēkal jadīd; sign: ; ISO code: ILS; unofficial abbreviation: NIS), also known as simply the Israeli shekel (Hebrew: שקל ישראלי, romanized: sheqel yisreʾeli; Arabic: شيكل إسرائيلي, romanized: šēkal ʾisrāʾīlī), is the currency of Israel and is also used as a legal tender in the Palestinian territories of the West Bank and the Gaza Strip. The new shekel is divided into 100 agorot. The new shekel has been in use since 1 January 1986, when it replaced the hyperinflated old shekel at a ratio of 1000:1.

Contents

The currency sign for the new shekel is a combination of the first Hebrew letters of the words shekel ( ש ) and ẖadash ( ח ) (new). When the shekel sign is unavailable the abbreviation NIS (ש״ח and ش.ج) is used.

History

The origin of the name "shekel" (שֶׁקֶל) is from the ancient Biblical currency by the same name. An early Biblical reference is Abraham being reported to pay "four hundred shekels of silver" to Ephron the Hittite for the Cave of the Patriarchs in Hebron (Genesis 23:15–16). Shekel is any of several ancient units of weight or of currency in ancient Israel, from the Hebrew root ש-ק-ל (š-q-l) meaning 'weigh' (שָׁקַל šaqal 'to weigh', שֶׁקֶל šeqel 'a standard weight'), common with other Semitic languages like Akkadian (resp. šaqālu and šiqlu) [4] and Aramaic (resp. תְּקַל teqal and תִּקְלָא tiqla). [5] Initially, it may have referred to a weight of barley. In ancient Israel, the shekel was known to be about 180  grains (11  grams or 0.35  troy ounces).

From the formation of the modern State of Israel on 14 May 1948 through 1952 banknotes continued to be issued by the Anglo-Palestine Bank as the Palestine pound which was pegged at £P1 = £1  sterling. [6] In 1952, the Anglo-Palestine Bank changed its name to Bank Leumi Le-Yisrael (National Bank of Israel) and the currency name became the Israeli pound. [7]

Israeli pound (1952–1980)

The Israeli pound (לירה ישראלית, "lira yisraelit") was the currency of the State of Israel from June 1952 until 23 February 1980, when it was replaced with the shekel on 24 February 1980. From 1955, after the Bank of Israel was established and took over the duty of issuing banknotes, only the Hebrew name was used, along with the symbol "IL". [8] The pegging to sterling was abandoned on 1 January 1954, and in 1960, the sub-division of the Israeli pound was changed from 1,000 prutot to 100 agorot.

Because lira (Hebrew : לִירָה) was a loanword from Latin, a debate emerged in the 1960s over the name of the Israeli currency due to its non-Hebrew origins. This resulted in a law ordering the Minister of Finance to change the name from lira to the Hebrew name shekel (Hebrew : שקל). The law allowed the minister to decide on the date for the change. The law came into effect in February 1980, when the Israeli government introduced the 'Israeli shekel' (now called old Israeli shekel), at a rate of IL10 = IS 1.

Shekel (1980–1985)

The original shekel, now known as the old shekel, was the currency of the State of Israel between 24 February 1980 and 31 December 1985. Both it and its predecessor, the Israeli pound, experienced frequent devaluations against foreign currencies during the 1960s and 1970s. This trend culminated in the old shekel experiencing hyperinflation in the early 1980s. After inflation was contained as a result of the 1985 Economic Stabilization Plan, the new shekel was introduced, replacing the old shekel on 1 January 1986 at a rate of IS 1,000 to ₪1.

New shekel (1985–present)

Israel 1000 Sheqalim 1983 Obverse & Reverse.jpg
Israel 5000 Sheqalim 1984 Obverse & Reverse.jpg
Israel 10000 NIS Bill 1984.jpg
Israel 1 Sheqel 1986 Obverse & Reverse.jpg
Israel 5 New Sheqalim 1987 Obverse & Reverse.jpg
Israel 10 New Sekel 1985 Obverse & Reverse.jpg
Removing three zeros: The smallest of the new banknotes (below) correspond to the biggest of the old (above).

Since the economic crisis of the 1980s and the subsequent introduction of the new shekel in 1985, the Bank of Israel and the government of Israel have maintained much more careful and conservative fiscal and monetary policies, and have gradually introduced various market-based economic reforms. In addition, the signing of free trade agreements helped the Israeli economy become more competitive, while heavy investment in its industrial and scientific base allowed the country to take advantage of opportunities associated with the rise of the global knowledge economy, thus greatly increasing exports and opening new markets for its products and services. As a result of these factors, inflation has been relatively low and the country now maintains a positive balance of payments, with a current account surplus equivalent to about 3% of its GDP in 2010. Consequently, its currency has strengthened though less so than an exceptional rise in the Euro and Swiss Franc, rising approximately 20% in value relative to the US dollar from 2001 to 2011, contrasting to weakening in prior decades.

Since 1 January 2003, the new shekel has been a freely convertible currency. Since 7 May 2006, new shekel derivative trading has also been available on the Chicago Mercantile Exchange. [9] This makes the new shekel one of only twenty or so world currencies for which there are widely available currency futures contracts in the foreign exchange market. It is also a currency that can be exchanged by consumers in many parts of the world. [10] [11] On 26 May 2008, CLS Bank International announced that it would settle payment instructions in new shekels, making the currency fully convertible. [12]

Coins

In 1985, coins in denominations of 1 agora, 5 agorot, 10 agorot, ₪12, and ₪1 were introduced. [13] In 1990, ₪5 coins were introduced, [14] followed by ₪10 coins in 1995. [15] Production of 1 agora pieces ceased in 1990, and they were removed from circulation on 1 April 1991.[ citation needed ] A ₪2 coin was introduced on 9 December 2007. [16] The 5 agorot coin, last minted in 2007, was removed from circulation on 1 January 2008. [17]

In April 2011, it was reported that new coins would be minted that would use less metal and thus lower costs. Counterfeiting would also be harder. [18] The Bank of Israel is considering dropping the word "new" on the planned coins series. If approved, this would be the first replacement of all coins since the introduction of the new shekel coins in September 1985. [19] The coins are minted by the Korea Minting and Security Printing Corporation (KOMSCO). [3]

In 2022, the Bank of Israel announced a new series of coins featuring updated inscriptions for its coins, with "new shekels" replacing "new sheqalim". The 5 and 10 new shekel coins will be the first to feature the new inscriptions, and the 10 agorot and 12 new shekel coins will feature its unit names rendered in Arabic. [20]

New shekel coin series
ImageValueTechnical parametersDescriptionDate of
DiameterThicknessMassCompositionEdgeObverseReverseissuewithdrawal
Israel 1 Agora 1985 Obverse & Reverse.jpg 1 agora17 mm1.2 mm2 g Aluminium bronze
92% copper
6% aluminium
2% nickel
PlainAncient galley, "Israel" in Hebrew, Arabic and English Value, date4 September 19851 April 1991
Israel 5 Agorot 1985 Edge, Obverse & Reverse.jpg 5 agorot19.5 mm1.3 mm3 gReplica of a coin from the fourth year of the war of the Jews against Rome depicting a lulav between two etrogim, "Israel" in Hebrew, Arabic and English 1 January 2008
Israel 10 Agorot 1985 Edge, Obverse & Reverse.jpg 10 agorot22 mm1.5 mm4 gReplica of a coin issued by Antigonus II Mattathias with the seven-branched candelabrum, the state emblem, "Israel" in Hebrew, Arabic and English Current
Israel Half New Sheqel 1985 Edge, Obverse & Reverse.jpg ₪0.526 mm1.6 mm6.5 g Lyre Value, date, "Israel" in Hebrew, Arabic and English
Israel 1 New Sheqel 1985 Edge, Obverse & Reverse.jpg ₪118 mm1.8 mm3.5 g Cupronickel
75% copper
25% nickel (1985–1993)
Nickel-plated steel (1994–present) [21]
Plain Lily, "Yehud" in ancient HebrewValue, date, "Israel" in Hebrew, Arabic and English 4 September 1985Current
Israel 2 New Sheqels 2010 Edge, Obverse & Reverse.jpg ₪221.6 mm2.3 mm5.7 gNickel-plated steelSegmented (plain and reeded sections)Two cornucopia 9 December 2007
Israel 5 New Sheqels 2012 Edge, Obverse & Reverse.jpg ₪524 mm2.4 mm8.2 g Cupronickel
75% copper
25% nickel
12 sidesCapital of column2 January 1990
Israel 10 New Sheqels 2011 Edge, Obverse & Reverse.jpg ₪1023 mm
Core: 16 mm
2.2 mm7 gRing: nickel-bonded steel
Center: aureate-bonded bronze
ReededPalm tree with seven leaves and two baskets with dates, the words "for the redemption of Zion" in ancient and modern Hebrew alphabet 7 February 1995
For table standards, see the coin specification table.

Banknotes

Series A (1985–1999)

Beginning on 4 September 1985. banknotes are introduced in denominations of ₪5, ₪10, and ₪50. An ₪1 note followed on 8 May 1986 and the ₪100 note issued on 19 August 1986. On 2 April 1988, the ₪20 note issued and the ₪200 note issued on 16 February 1992 completing the family. [22] The ₪1, ₪5 and ₪10 notes used the same basic designs as the earlier IS 1000, 5000, and 10000 notes but with the denominations altered.

The ₪1, ₪5 and ₪10 notes were later replaced by coins. A number of these coins, in their first minting, had the images of the individuals on the notes engraved on them.

ImageValueDimensionsColourObverseReverseDate of issueDate of withdrawal
Israel 1 Sheqel 1986 Obverse & Reverse.jpg ₪176x 138 mmgreen Maimonides Tiberias where Maimonides is buried; ancient stone lamp8 May 19861995
Israel 5 New Sheqalim 1987 Obverse & Reverse.jpg ₪5blue Levi Eshkol Pipe carrying water, symbolizing the National Water Carrier, fields and barren land in background4 September 19851995
Israel 10 New Sekel 1985 Obverse & Reverse.jpg ₪10orange Golda Meir Picture of Golda Meir in the crowd, in front of the Moscow Choral Synagogue, as she arrived in Moscow as Israel's ambassador in 19484 September 19851995
Israel 20 New Sheqalim 1993 Obverse & Reverse.jpg ₪20 dark gray Moshe Sharett The original building of Herzliya Gymnasium, Little Tel Aviv in background2 April 19881 July 2000
Israel 50 New Sheqalim 1992 front & back.jpg ₪50 purple Shmuel Yosef Agnon Jerusalem skyline, Eastern European shtetl, the setting of many of Agnon's stories.4 September 19851 July 2000
Israel 100 New Sheqalim 1995 front & back.jpg ₪100 brown Yitzhak Ben-Zvi Peki'in Synagogue with carob tree and cave; ancient stone lamp19 August 19861 July 2000
Israel 200 New Sheqalim1994 Obverse & Reverse.jpg ₪200 red Zalman Shazar A girl writing at a desk as a symbol of the Compulsory Education Law which was initiated by Shazar, and Hebrew block letters in background16 February 19921 July 2000
These images are to scale at 0.7 pixel per millimetre. For table standards, see the banknote specification table.

Series B (1999–2017)

The Second series of bank notes was released in 1999, replacing the first series by 2005. A plan to issue a ₪500 banknote, carrying the portrait of Yitzhak Rabin, was announced shortly after Rabin's assassination in 1995. However, due to low inflation rates, there was no need for such a banknote and it was never issued. [23]

Second series of the new shekel
ImageValueDimensionsColourObverseReverseDate of issue
Israel-20-New-Sheqalim-1998-revers.jpg Israel-20-New-Sheqalim-1998-avers.jpg ₪20 71x 138 mmGreen Moshe Sharett Jewish volunteers in World War II; a watchtower, commemorating tower and stockade settlements3 January 1999
20 NIS Bill (polypropylene) Obverse & Reverse.jpg ₪20 Green Moshe Sharett Jewish volunteers in World War II; a watchtower, commemorating tower and stockade settlements. The additional red text on the polypropylene note reads "60 Years of the State of Israel" in Hebrew in red ink. It was only featured in a 1.8 million limited run close to the noted anniversary and is not present on a majority of notes.
(Made of polypropylene, a polymer substrate, which is superior to the regular Series B paper note with a circulation life of a few months only. The polymer note is printed by Orell Füssli Security Printing of Zürich, Switzerland.)
13 April 2008
50 NIS Bill Obverse & Reverse.jpg ₪50 Purple Shmuel Yosef Agnon Agnon's notebook, pen and glasses, Jerusalem and the Temple Mount 31 October 1999
100 NIS Bill Obverse & Reverse.jpg ₪100 Brown Yitzhak Ben-Zvi Peki'in Synagogue 3 January 1999
200 NIS Bill Obverse & Reverse.jpg ₪200 Red Zalman Shazar A street in Safed and text from Shazar's essay about Safed31 October 1999
500 NIS Bill Obverse.png
₪500Blue Yitzhak Rabin Part of a speech given by the late Prime Minister shortly before his assassination [24] Never printed
These images are to scale at 0.7 pixel per millimetre. For table standards, see the banknote specification table.

Series C (2014–present)

The committee proposed that the new series would bear the portraits of prominent Hebrew poets, among them Rachel Bluwstein, Shaul Tchernichovsky, Leah Goldberg and Nathan Alterman. In December 2010, it was announced that the series would feature portraits of Menachem Begin, Yitzhak Rabin, Rachel, and Shmuel Yosef Agnon. [25] When Begin's family opposed the decision, the committee's original proposal was readopted. [26]

On 14 November 2012, the Bank of Israel announced that the new series of banknotes is in the final stages of design. The first of the new banknotes to begin circulation was in the ₪50 denomination on 16 September 2014, [27] followed by the ₪200 note on 23 December 2015. [28] The final two denominations, ₪20 and ₪100, were issued on 23 November 2017, completing the "Series C" banknote series. [29] [30] [31]

With the issuing of the third series, the Bank of Israel has adopted the standard English spelling of shekel and plural shekels for its currency. [32] Previously, the Bank had formally used the Hebrew transcriptions of sheqel and sheqalim (from שְׁקָלִים). [33] The new notes also used the Arabic شيكل(šaykal) rather than شيقل(šayqal), which had been used on all banknotes previously.

The banknotes are printed by Orell Füssli Security Printing of Switzerland. [2]

Third Series of the New Shekel
ImageValueDimensionsColourDescriptionDate of issue
ObverseReverse
20 New Sheqalim2017 Obverse & Reverse.png ₪20 129 × 71 mmRed Rachel Bluwstein; the poem Kinneret in microprinting; palm tree branches in the backgroundVista of the Sea of Galilee shoreline; segment from the poem Perhaps it was nothing…23 November 2017
50 New Sheqalim2014 Obverse & Reverse.png ₪50 136 × 71 mmGreen Shaul Tchernichovsky; the poem Oh, My Land, My Homeland in microprinting; citrus tree and its fruits in the backgroundCapital of a Corinthian column; segment from the poem I Believe16 September 2014
100 New Sheqalim2017 Obverse & Reverse.png ₪100 143 × 71 mmOrange Leah Goldberg; the poem In the land of my love the almond tree blossoms in microprinting; almond tree blossoms in the backgroundA group of gazelles; segment from the poem White days23 November 2017
200 New Sheqalim2015 Obverse & Reverse.png ₪200 150 × 71 mmBlue Nathan Alterman; the poem Eternal Meeting in microprinting; fall leaves in the backgroundMoonlit flora; segment from the poem Morning Song23 December 2015
These images are to scale at 0.7 pixel per millimetre. For table standards, see the banknote specification table.

Exchange rates

The cost of one euro in ILS (from 2011). Euro exchange rate to ILS.svg
The cost of one euro in ILS (from 2011).
ILS per currency, averaged over the year
Currency ISO 4217 Unit1986199119962001200620112016
United States dollar USD11.362.593.364.224.473.463.77
Soviet ruble SUR111.804.61
Russian ruble RUB10.620.140.160.120.05
Yen JPY1000.811.873.163.424.004.273.44
Sterling (pound)GBP12.074.475.166.108.365.535.15
Deutsche Mark DEM210.611.502.221.862.892.512.17
French franc FRF310.190.440.650.550.860.750.65
Euro EUR13.635.654.914.25
Swiss franc CHF10.731.782.682.373.674.143.89
Jordanian dinar JOD14.253.344.505.896.444.815.32
Egyptian pound EGP12.120.720.941.070.770.570.42
Renminbi (yuan)CNY10.390.470.390.500.550.550.58
1 SUR ceased to exist after 1993, and was replaced by RUB.
2 DEM ceased to exist after 1999, and was replaced by EUR.
3 FRF ceased to exist after 1999, and was replaced by EUR.
Current ILS exchange rates
From Google Finance: AUD CAD CHF CNY EUR GBP HKD JPY USD JOD EGP EUR
From Yahoo! Finance: AUD CAD CHF CNY EUR GBP HKD JPY USD JOD EGP EUR
From XE.com: AUD CAD CHF CNY EUR GBP HKD JPY USD JOD EGP EUR
From OANDA: AUD CAD CHF CNY EUR GBP HKD JPY USD JOD EGP EUR

See also

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References

  1. The State of Palestine lacks an official legal tender. According to Article 4 of the 1994 Paris Protocol, the Protocol allows the Palestinian Authority to adopt additional currencies. In the West Bank the Jordanian dinar is widely accepted and in the Gaza Strip the Egyptian pound is often used.
  2. 1 2 www.20min.ch, www 20minuten ch, 20 Minuten, 20 Min (27 April 2011). "Israel lässt in Zürich Geld drucken". 20 Minuten.{{cite web}}: CS1 maint: multiple names: authors list (link) CS1 maint: numeric names: authors list (link)
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  20. Update of the inscription on circulating coins Bank of Israel (https://www.boi.org.il). Retrieved on 2023-04-01.
  21. Note that nickel-clad steel 1 new sheqalim coins were issued in 1994 and 1995
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