The Taka is the currency of Bangladesh. Bangladesh Bank, the central bank of the country controls the issuance of the currency except one taka and two taka notes, which are the responsibility of Ministry of Finance of the government of Bangladesh. One taka is subdivided into 100 poisha.

In Bengali, the word „taka” is also commonly used generically to mean any money, currency, or notes. Thus, colloquially, a person speaking Bengali may use „taka” to refer to money regardless of what currency it is denominated in.

Summary info

Summary information about Bangladeshi taka

ISO 4217 Code:

BDT

Currency sign:

৳ or Tk

Country:

Bangladesh

Subunit:

paisa

Coins:

1 paisa, 5 poisha, 10 poisha, 25 poisha, 50 poisha, 1 Taka, 2 Taka, 5 Taka

Banknotes:

1 Taka, 2 Taka, 5 Taka, 10 Taka, 20 Taka, 50 Taka, 100 Taka, 500 Taka, 1000 Taka

Central bank:

Bangladesh Bank

History

After the British gained control of Bengal in 1772, the British East India Company began minting coins in Calcutta that circulated throughout Bengal. The East India Company made the Madras rupee of the weight established in 1818 the standard for all of India; it was therefore called the "Company's rupee." Calcutta (sicca) rupees ceased to be legal tender as of 1 January 1838 (East India Company, Act No. 13 of 1836). The 1835 act also provided for coining the gold mohur, which was done beginning 1 September 1835. East India Company, proclamation of 13 January 1841, explicitly allowed mohurs to be used in paying the government, though they were not legal tender for paying private persons. The effect was to make India quasi bimetallic at a ratio of 15 units silver =1 unit gold. Gold mohurs ceased to be legal tender on December 1, 1853 putting India on a silver standard. In 1862 the coinage was transferred from the East India Company to the Indian colonial government (India, Act No. 13 of 1862). In 1876, the government of India was allowed to admit coins of native states as legal tender upon certain conditions (India, Act No. 9 of 1876).

The British standardized the silver Rupee (INR) throughout India, and it became the principal medium of exchange. Its value fluctuated, relative to the British Pound, as the values of silver and gold fluctuated. The Rupee fluctuated between 27 pence in 1870 and 16 pence on June 26 1893 when India effectively went on the gold standard. The Indian Coinage and Paper Currency Act, No. 22 of 1899 established a Pound Sterling exchange standard, giving legal tender status to British Gold Sovereigns. Banknotes were issued by the Government of India from 1861 until 1937, and by the Reserve Bank of India from 1937 until 1948.

Initially, after gaining its independence, the Reserve Bank of India continued to issue banknotes and coins for Pakistan. The Pakistan Rupee (PKR) was introduced on April 1, 1948 as part of a currency union with India. The Rupee was made divisible into 100 Paise. Banknotes were issued by both the Government of Pakistan, and by the State Bank of Pakistan.

In 1971, the erstwhile province of East Bengal became the independent nation of Bangladesh with the Pakistan Rupee as its interim currency. The taka became Bangladesh's currency in 1972, replacing the Pakistani rupee at par. The word „taka” is derived from the Sanskrit term tanka which was an ancient denomination of silver coin. The term taka was widely used in different parts of India but with varying meanings. In north India, taka was a copper coin equal to two paise and in the south, it was equal to four paisa or one anna. It was only in Bengal and Orissa where taka was equal to rupee. In all areas of India, taka was used informally for money in general. However, Bengal was the stronghold of taka.

The rupee was introduced by the Turko-Afghan rulers and was strongly upheld by the Mughals and the British rulers. The Bengali and oriya people always used the word taka for the rupee, whether silver or gold. Ibn Battuta, the Arab traveller, noticed that, in Bengal, people described gold coins (Dinar) as gold tanka and silver coin as silver tanka. In other words, whatever might be the metallic content of the coin, the people of Bengal called it taka. When the Pakistan Rupee was issued prior to 1971 bearing both Urdu and Bengali alphabets, the word taka was used in Bangla version instead of rupiya, as in Urdu version.

Coins

In 1973, coins were introduced in denominations of 5, 10, 25 and 50 poisha. 1 poisha coins followed in 1974, with 1 taka coins introduced in 1975. The 1, 5 and 10 poisha were struck in aluminium, with the 25 and 50 poisha struck in steel and the 1 taka in copper-nickel. The 5 poisha were square with rounded corners, whilst the 10 poisha were scalloped. Steel 5 taka were introduced in 1994, whilst a steel 2 taka coin followed in 2004. 1 and 5 poisha coins are rarely found in circulation. 10, 25, and 50 poisha coins do not circulate widely. Only the 1, 2 and 5 taka are regularly found in circulation.

Banknotes

In 1971, Pakistani notes for 1, 5 and 10 rupees were overstamped for use in Bangladesh. These were followed in 1972 by treasury notes for 1 taka and notes of the Bangladesh Bank for 5, 10 and 100 taka. In 1975, banknotes for 50 taka were introduced, followed by 500 taka in 1977 and 20 taka in 1980. 1 taka treasury notes were issued until 1984, with 2 taka treasury notes introduced in 1989.

In 2000, the government issued polymer 10 taka notes as an experiment (similar to the Australian dollar). They proved unpopular, however, and were withdrawn later. At present, the 1 taka and 5 taka notes are gradually being replaced with coins.

In 2008, the government issued 1000 taka notes.

BDT banknotes pictures gallery

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Useful links

About Bangladesh Bank:

Bangladesh Bank

List of currencies:

Currencies

Security and design features of BDT banknotes:

BDT banknotes

BDT currency on Wikipedia:

Bangladeshi taka

Official Website of Bangladesh Bank:

www.bangladesh-bank.org

Commemorative coins:

Commemorative Coins