In the start of a new, periodic, series in Coin & Mint News™, we will be looking at the history of coinage in countries around the world, starting in this first article with Pakistan.
This brief history of Pakistan’s coinage is divided into three parts – the first is the pre-Islamic period, the second stretches from the introduction of the Islamic period through to British Indian rule, and the third covers the contemporary era.
Pakistan is the world’s fifth most populous country, with over 249.5 million people, and has the world’s largest Muslim population as of 2023. It gained independence in 1947 after the partition of the British Indian Empire, which awarded separate statehood to its Muslim-majority regions. In 1971, the exclave of East Pakistan seceded as the new country of Bangladesh.
In Pre-Islamic times (ie. before the 8th century), commerce was largely through a barter system, with weighted stones and bronze/copper seals used as currency during the Indus Valley civilisation (from c. 3,300-1,300 BCE), when urbanisation first took place.
Cowrie shells, found in the Indian and South Pacific Ocans, were also used as currency – indeed they were among the first form of currency in the world, first appearing around 2,000 BCE.
Punch-marked coins also appear to have been in use from around the 6th century BCE to the 3rd century CE. They were usually made of silver and to a standard weight, although irregular in shape and size.
This period includes the Arab Governors of Sindh, the Sultans of Delhi, Mughals, Durranis, Sikh rulers, and the Princely States of India. Coins were produced under all these rulers, but production was further centralised under British Indian rule.
Coinage during the period of British rule in India can be separated into two categories – those produced pre-1835 under the East India Company, and Imperial issues produced under crown authority. The East India Company issues can again be split into three categories, or presidencies – those produced under the Bombay Presidency in the west, Madras Presidency in the south, and Bengal Presidency issues in the east.
The Company then gained permission to strike coins in the name of the Mughal emperor Farruksiyar at the Bombay Mint, in 1717.
Coins were produced during the reign of King William IV in all three presidencies, issued by the East India Company. In 1835, a Coinage Act was passed which enabled the production of uniform coinage for all British territories from 1835 to 1858. From 1840 onwards, coins issued featured the portrait of Queen Victoria.
Administration of British India transferred from the East India Company to the British Crown in 1858, with the first coinage issued under the Crown in 1862. Queen Victoria became Empress of India in 1877, and the inscription on the coins’ obverse changed from ‘Victoria Queen’ to ‘Victoria Empress’.
During the reign of her successor, King Edward VII, coins were issued with an unusual feature, an uncrowned effigy. This was because the original coin dies were prepared before the Coronation, which took place in 1902. The only exception to this was the 1 anna coin minted between 1906 and 1910.
In 1947, at the time of independence, Pakistan did not have its own coinage. It was agreed that the currency in circulation before partition would remain in circulation until the Pakistan government issued its own.
The coinage underwent a complete change in design. It was based on the traditional rupees system of the sub-continent, sub-divided into 16 annas, each of 4 pice or 12 pie, and depicted a crescent and star. Each featured ‘Tughra’ in Urdu on the obverse, with the inscription ‘Govt of Pakistan’ in English.
In 1953, new coins in the denominations of 1 anna, ½ anna and 1 pice were introduced, which featured the crescent and star inscribed within a wreath or between two corn ears, adding to the 2 anna, 1⁄4 rupee, 1⁄2 rupee and 1 rupee issued in 1948.
In 1961, the currency was decimalised and the rupee was now subdivided into 100 paise. New coins of 1, 5 and 10 paisa were issued first, with 25 and 50 paisa coins following in 1963. In May 1964, two new coins, the 1 and 2 paisa, were issued. The 1 paisa coin was enlarged, and the 2 paisa coin was shaped with fluted corners.
Most of these coins ceased to be legal tender from 1 October 2014, with only the 1 rupee remaining in circulation.
Currently, coins are issued in denominations of 1, 2, 5 and 10 rupees. The modern 1 and 2 rupee coins were first issued in 1998 and feature the founder of Pakistan, Muhammad Ali Jinnah, and the Badshahi Mosque in Lahore on the reverse of each, respectively. In 2008, they were updated and are now made of aluminium.
Coins in denominations of 5 and 10 rupees were introduced in 2002 and 2016 respectively. The former was updated in 2015 and is now made of copper-nickel-zinc. The latter is made of brass nickel.
The State Bank of Pakistan has issued several commemorative coins, with the first produced in 1976 to commemorate the birth anniversary of Pakistan’s founder. Recent issues include a commemorative 50 rupee coin to mark the golden jubilee of the Senate of Pakistan, and a 50 rupee coin to mark the golden jubilee of the 1973 Constitution of Pakistan. Both commemorative coins were issued earlier this year.
Further information about the history of Pakistan’s coins can be found on the website of the State Bank of Pakistan and that of its museum.
