The United Arab Emirates (hereinafter UAE) was formed from 7 emirates (Umm Al Quwain, Ajman, Dubai, Ras Al Khaimah, Sharjah, Abu Dhabi, Fujairah) in 1971. Each of the emirates is a state.
The huge reserves of oil and gas ensured the prosperity and rapid development of this association.
Like any country, the UAE has its own national currency. It is very important for tourists to know which currency is valid in the territory that they wish to visit, because this knowledge greatly facilitates the first days of a foreigner’s stay in a foreign country. Therefore, if you are going to visit the UAE, you should find out information about the money of this state.
Dirham is the national currency of the UAE. The international designation of this currency is AED, domestic - DHS or DH.
The UAE currency, or rather its name, came from the word "drachma", which means Greek money circulating in Greece from 02/08/1833 to the period when the state currency changed to Euro in connection with the entry into the European Union (01/01/2002).
Briefly about the history of the UAE Dirham
To solve the issue of creating a national currency, the Central Bank was organized on May 19, 1973, which was originally called the UAE Monetary Council. On the same day, the UAE's modern currency was first put into circulation.
Prior to its introduction, the Qatari rial and the Bahraini dinar operated on the territory of the emirates. The currency that was previously in circulation was replaced with the dirham within a few weeks, based on the following calculation:
1 rial = 1 dirham;
1 dinar = 10 dirhams.
Thus, 131 million Qatari rials and 12.9 million Bahraini dinars were replaced by 260 million dirhams.
The Monetary Council of the United Arab Emirates had limited opportunities and could not manage the monetary policy of the emirates, so the Central Bank Law was issued on December 10, 1980. Based on the provisions of this law, the Currency Council was transformed into the Central Bank of the UAE, endowed with a wide range of powers.
What currency to take in the UAE?
It is best to come to the United Arab Emirates with American dollars; you should not carry Russian rubles or Ukrainian hryvnias, since there may be difficulties in exchanging them for Arab dirhams.
With US dollars, you can easily pay for purchases in large shopping centers in the United Arab Emirates. However, note - paying with local currency is more profitable.
You can also bring euros with you, but there can be difficulties with their exchange, as they are not particularly converted to the UAE. In addition, their course is unreasonably understated and often changes.
Banknotes and coins of the UAE
The bargaining chip in the United Arab Emirates is a fil, which is equal to 0.1 dirham. Translated from Arabic fils means "money."
Banknotes in denominations of 10, 100, 1000, 20, 200, 5, 50, 500 dirhams, 25 and 50 fils, as well as coins 1 and 5 dirhams are common in modern emirates. The material for making coins is copper and nickel.
An interesting fact is that all prices in the emirates are usually rounded to 25 fils.
In addition, on coins you will not see the numbers that are familiar to us, as well as the weight and size of the “penny” does not correspond to the face value. For example, a coin of 10 fils is larger and heavier than a coin of 25 fils.
Arabic Currency Rates
It is very difficult to talk about the exchange rate, since this indicator is extremely unstable at present. Only the ratio of the dirham to the dollar has been relatively stable for several decades, since the UAE currency is closely interconnected with the US currency. This “binding” was carried out by the authorities of the emirates back in 1997 for the convenience of making payments for oil, which enriches the people of the Arab state.
But still, we give the value of the dirham against the euro, the Russian ruble, the US dollar and the Ukrainian hryvnia as of January 16, 2015:
1 dirham = 0.23 euros (EUR);
1 dirham = 17.75 Russian rubles (RUB);
1 dirham = 0.27 US dollars (USD);
1 dirham = 4.32 hryvnias (UAH).
The data are indicated on the basis of official rates, so in exchange offices they will slightly differ in the direction of increasing indicators.
I am looking for a currency exchange.
Currency exchange in the emirates is quite simple. You can convert the money brought right away at the airport, as well as at exchange offices, banks or a hotel. The lowest rate is offered at the airport and hotel, so if you want to save money, do not exchange with them.
The work schedule of institutions in the emirates differs from that set in post-Soviet countries. Friday is a day of rest in the UAE, and Thursday is shortened (working hours: from 8:00 to 12:00). On other days of the week, banks are open from 8:00 to 13:00 and from 16:30 to 18:30 minutes. Exchange offices - from 9:00 to 13:00 and from 16:30 to 20:30.
The exchange of counterfeit bills is strictly punishable in the Arab state, so if you are in doubt about the quality of the bill, ask the hotel employee to verify its authenticity. You can also ask about the originality of the currency in the exchange office before the transaction.
Thus, the dirham is the modern currency of the UAE. Its rate is relatively stable against the US currency. When asked about the currency in the UAE for tourists, it is also worth noting the US dollar.
Prepare in advance for the trip - and enjoy the journey.
