Eritrean nakfa

Eritrean nakfa
Nfk
The nakfa (ISO 4217 code: ERN; ናቕፋ naḳfa, or ناكفا or نقفة nākfā) is the currency of Eritrea and was introduced on 15 November 1998 to replace the Ethiopian birr at par. The currency takes its name from the Eritrean town of Nakfa, site of the first major victory of the Eritrean War of Independence. The nakfa is divided into 100 cents.

The nakfa is pegged to the US dollar at a fixed rate of US$1 = ERN 15. At earlier times, it was officially pegged at US$1 = ERN 13.50. The currency is not fully convertible, so black market rates available on the streets typically offered a rate of 15 nakfas per dollar.

Between 18 November and 31 December 2015, the Bank of Eritrea began replacement of all nakfa banknotes. The banknote replacement initiative was designed to combat counterfeiting, the informal economy but primarily Sudanese human traffickers who had accepted payments in nakfa banknotes in exchange for transporting would-be migrants primarily to Europe. A consequence of this was substantial amounts of the country's currency existed in vast hoards outside of Eritrea.

The plan to replace the country's currency was top secret and designed to prevent human traffickers bringing their funds back in time to exchange for the new banknotes. On 1 January 2016 the old nakfa banknotes ceased being recognized as legal tender, rendering external stockpiles of currency worthless.

The current series of banknotes is the artwork of an Afro-American banknote designer, Clarence Holbert, and printed by German currency printer Giesecke & Devrient.

Nakfa coins are made entirely of nickel-clad steel. Each coin has a different reeded edge, instead of consistent reeding for all denominations. The 1 nakfa coin carries the denomination "100 cents". Coin denominations:

* 1 cent

* 5 cents

* 10 cents

* 25 cents
Country
  • Eritrea
    Eritrea, officially the State of Eritrea, is a country in the Horn of Africa region of Eastern Africa, with its capital and largest city at Asmara. It is bordered by Ethiopia in the south, Sudan in the west, and Djibouti in the southeast. The northeastern and eastern parts of Eritrea have an extensive coastline along the Red Sea. The nation has a total area of approximately 117600 km2, and includes the Dahlak Archipelago and several of the Hanish Islands.

    Human remains found in Eritrea have been dated to 1 million years old and anthropological research indicates that the area may contain significant records related to the evolution of humans. Contemporary Eritrea is a multi-ethnic country with nine recognised ethnic groups. Nine different languages are spoken by the nine recognised ethnic groups, the most widely spoken language being Tigrinya, the others being Tigre, Saho, Kunama, Nara, Afar, Beja, Bilen and Arabic. Tigrinya, Arabic, and English serve as the three working languages. Most residents speak languages from the Afroasiatic family, either of the Ethiopian Semitic languages or Cushitic branches. Among these communities, the Tigrinyas make up about 55% of the population, with the Tigre people constituting around 30% of inhabitants. In addition, there are several Nilo-Saharan-speaking Nilotic ethnic groups. Most people in the country adhere to Christianity or Islam, with a small minority adhering to traditional faiths.