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Fatwa on the Payment of Zakat using Dinar and Dirham (Part 9 – History of Dinar & Dirham)

21 Sep

The Dinar and Dirham in History
First Dated Coins

The first dated coins that can be assigned to the Muslims are copies of silver Dirhams of the Sasanian Yezdigird III, struck during the Caliphate of ‘Uthman, radiallahu anhu. These coins differ from the original ones in that an Arabic inscription is found in the obverse margins, normally reading “In the Name of Allah”. The subsequent series was issued using types based on drachmas of Khusru II, whose coins probably represented a significant proportion of the currency in circulation. In parallel with the later Khusru-type Arab-Sasanian coins first issued under the Well-Guided Caliphs of Islam, a more extensive series was struck with Khusru’s name replaced by that of the local Arab governor or, in two cases, that of the Caliph. Historical evidence makes it clear that most of these coins bear Hijra dates. The earliest Muslim copper coins are anonymous and undated but a series exists which may have been issued during the Caliphates of ‘Uthman or ‘Ali, radiallahu anhum. These are crude copies of Byzantine 12-nummi pieces of Heraclius from Alexandria.

The First Silver Dirham

By the year 75 AH/ 695 CE Abd al-Malik had decided on changes to the coinage. A scattering of patterned pieces in silver exist from this date, based on Sasanian prototypes but with distinctive Arabic reverses. This experiment, which maintained the Sasanian weight standard of 3.5-4.0 grams was not proceeded with and in 79 AH/698 CE a completely new type of silver coin was struck at 14 mints to a new nominal weight of 2.97 grams. Unlike the contemporary gold coinage, this figure does not seem to have been achieved in practice. The average weight of sixty undamaged specimens of 79-84 AH is only 2.71 grams, a figure very close to that for a unique coin of 79 AH struck with no mint name (as was the standard procedure for the gold Dinars produced in Damascus). These new coins which bore the name of ‘Dirham’, established the style of the Arab-Sasanian predecessors at 25 to 28 mm. in diameter. Their design is composed of Arabic inscriptions surrounded by circles and annulets. On each side there is a three or four line legend with a single circular inscription. Outside this are three line circles with, at first, five annulets surrounding them. The side normally taken as the obverse has as its central legend the Kalima or shahada: “There is no god except Allah alone, there is no partner with Him’. Around it is the mint/ date formula reading “In the Name of Allah: this Dirham was struck in [mint name e.g. Damascus] in the year [e.g. 79 AH]”. The reverse has a four line central inscription taken from the Surah 112 of the Quran; “Allahu Ahad, Ahallu-Samad, Lam yalid wa lam yulad wa lam yakul-lahu kufu-an ahad”’. The marginal legend states: “Muhammad is the Messenger of Allah, he was sent with guidance and the religion of truth to make it prevail over every other religion, averse though the idolaters may be” (Quran 9:33)

The First Gold Dinar

Although there was a dictum that solidii were not to be used outside of the Byzantine empire, there was some trade that involved these coins which then did not get re-minted by the emperors minting operations, and quickly became worn. Through the end of the 7th century, Arabic copies of solidii – dinars minted by the Caliph Abd al-Malik, who had access to supplies of gold from the upper Nile – began to circulate in areas outside of the Byzantine empire. These corresponded in weight to only 20 carats (4.0 g), but matched with the weight of the worn solidii that were circulating in those areas at the time. The two coins circulated together in these areas for a time.

Some gold coins were struck to the contemporary standard of 4.4 grams and with one or more Arabic Standing figures on the obverse and an Arabic legend on the reverse. Dated coins exist from 74 AH and are named as ‘Dinars’. These experimental issues were replaced in 77 AH, except in North Africa and Spain, by completely epigraphical designs very similar to the designs adopted for the silver pieces but with a shorter reverse legend and no annulets or inner circles. This type was used without appreciable change for the whole of Umayyad period, the coins being struck to a new and carefully controlled standard of 4.25 grams. This weight was reputed to be based on the average of the current Byzantine solidi, was called a mithqal, a term used earlier for 1/72 of a ratl. Evidence of the importance attached to the close control of the new Dinars is provided by the existence of glass weights, mainly from Egypt. They usually show the governor’s name, sometimes the date but all marked with coin denomination.

The issues in gold from North Africa began as copies of the coins of Heraclius and his son (but with an abbreviated Kalima in Latin), the reverse ‘cross on steps’ losing in most cases its cross piece. Dinars, halves and thirds were struck, all to the new weight standard. Later coins are dated by the Indiction Number Method, from Indiction II (85/4) changing to the Hijra date in Roman numerals in 94 AH with Arabic phrases appearing in the field from 97 AH. In the year 100, North Africa came into line with the eastern issues although the mint is named as Ifriquiyah. The legends are shorter and the reverse has a new central inscription: “In the Name of Allah, the Merciful, the Compassionate”. This was used also on the coins from Al-Andalus, and on the half and third Dinars, most of which show no mint but may well have been struck in Al-Andalus.

Although there was a dictum that solidii were not to be used outside of the Byzantine empire, there was some trade that involved these coins which then did not get re-minted by the emperors minting operations, and quickly became worn. Through the end of the 7th century, Arabic copies of solidii – dinars minted by the caliph Abd al-Malik, who had access to supplies of gold from the upper Nile – began to circulate in areas outside of the Byzantine empire. These corresponded in weight to only 20 carats (4.0 g), but matched with the weight of the worn solidii that were circulating in those areas at the time. The two coins circulated together in these areas for a time.

Conclussion

The payment of Zakat cannot be made with paper money. It must be made using ‘ayn, that is, using Gold Dinar and Silver Dirham. If the coins are not available is an obligation to mint them and make them available. They are the Shariah currency as stated by Ibn Khaldun. Because they are mentioned in Qur’an, they should be present and the payment of Zakat must be established once again using the Shariah currency.
The introduction of the Shariah currency is the most important political event of our days. It reinstates the Sunnah of currency and it eliminates our dependency on the riba system. At the same time it is the first step towards the political and economic integration of the Muslim nation.

 
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Posted by on September 21, 2011 in Uncategorized

 

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