Eritrean nakfa facts for kids

Quick facts for kids Eritrean nakfa
Nakfa banknotes
ISO 4217 Code	ERN
User(s)	Eritrea
Inflation	9%
Source	April 2017
Pegged with	U.S. dollar = 15 nakfa
Subunit
1⁄100	cent
Symbol	Nfk
Coins	1, 5, 10, 25, 50 cents, 1 nakfa
Banknotes	1, 5, 10, 20, 50, 100 nakfa

The nakfa is the official money used in Eritrea, a country in Africa. It's called naḳfa in Tigrinya and nākfā in Arabic. The nakfa was first used on November 15, 1997. It replaced the old money, called the Ethiopian birr. The name "nakfa" comes from a town in Eritrea called Nakfa. This town was important because it was where a big victory happened during Eritrea's fight for independence. One nakfa is made up of 100 smaller units called cents.

The nakfa's value is linked to the US dollar. This is called being "pegged." It means that 1 US dollar is usually worth 15 nakfas. In the past, it was officially set at 13.50 nakfas for 1 US dollar. However, you might find different rates on the street because the money isn't fully "convertible."

Between November and December 2015, the Bank of Eritrea changed all the old nakfa banknotes for new ones. This was done to stop people from making fake money. It also helped fight against illegal money activities. The plan was kept secret so that people involved in illegal money movements couldn't exchange their old money for new. On January 1, 2016, the old nakfa banknotes were no longer valid. This made any large amounts of old money held outside Eritrea worthless.

The current nakfa banknotes were designed by Clarence Holbert, an Afro-American banknote designer. They are printed by a German company called Giesecke & Devrient.

Coins of Eritrea

Nakfa coins are made from nickel-covered steel. Each coin has a different pattern on its edge. This is different from most coins, which have the same edge pattern for all values. The 1 nakfa coin actually says "100 cents" on it. On the back of the coins, you can see fighters raising the Eritrean flag. It also shows the date "1991" and the words "Liberty, Equality and Justice."

Banknotes of Eritrea

The nakfa banknotes were designed in 1994 by Clarence Holbert. He worked for the United States Bureau of Engraving and Printing. Instead of showing political leaders or historical events, the banknotes show ordinary people. These people represent Eritrea's nine main ethnic groups. These groups include the Tigrinya, Tigre, Rashaida, Nara, Afar, Saho, Bilen, Beja, and Kunama.

The back of the five Nakfa banknote shows a Ficus sycomorus tree.

There have been five different sets, or "series," of banknotes since the nakfa was first used. The first set of all banknotes was dated May 24, 1997. May 24 is an important date because it's Eritrea's Independence Day. Later sets of banknotes were released in 2004, 2011, and 2012. The most recent set of banknotes, which made all the older ones worthless, is dated May 24, 2015.

Banknotes of the Eritrean nakfa (1997–present series)
Image	Value	Dimensions	Main Color	Description		Date of issue	Date of first issue	Watermark
				Obverse	Reverse
	1 nakfa	140 x 70 mm	Dark brown and black on multicolored underprint	Three children from different Eritrean groups; flag raising	Children in a bush school	1997 2015	May 24, 1997	Camel head
	5 nakfa	140 x 70 mm	Dark brown and black on multicolored underprint	Young boy, young man, and older man from different Eritrean groups; flag raising	Sycamore fig tree	1997 2015	May 24, 1997	Camel head
	10 nakfa	140 x 70 mm	Dark brown and black on multicolored underprint	Three young women from different Eritrean groups; flag raising	Eritrean railway	1997 2012 2015	May 24, 1997	Camel head
	20 nakfa	140 x 70 mm	Dark brown and black on multicolored underprint	Three young women from different Eritrean groups; flag raising	Three farming scenes: farmer plowing with a camel, women harvesting, woman on a tractor	1997 2012 2015	May 24, 1997	Camel head
	50 nakfa	143 x 71 mm	Brown-red on pale yellow underprint	Three women from different Eritrean groups; flag raising	Cargo ships at Massawa port	1997 2004 2011 2015	May 24, 1997	Camel head
	100 nakfa	147 x 72 mm	Blue and black on pale yellow underprint	Three women from different Eritrean groups; flag raising	Farmers plowing with oxen	1997 2004 2011	May 24, 1997	Camel head

How the Exchange Rate Works

Eritrea's government prefers to keep the nakfa's value fixed against other currencies. This helps keep prices stable. However, sometimes the value is changed on purpose. The nakfa is considered a weak currency. On the "black market" (unofficial places where money is exchanged), you might find that 1 US dollar is worth around 100 nakfas. The nakfa is not widely used or wanted outside of Eritrea.

See also

• Economy of Eritrea