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The Birth of the Tenge: Discover how Kazakhstan's currency came into existence and the journey it has undertaken.

On November 15, Kazakhstan celebrates National Currency Day, dedicated to the tenge. This date also coincides with the professional holiday of Finance Day. The introduction of the national currency in 1993 was a turning point for Kazakhstan's economy, which was in desperate need of its own currency. A Tengrinews.kz correspondent explores how the tenge has evolved over the past 31 years.
День рождения тенге: история создания казахстанской валюты и ее путь развития.

On November 15, Kazakhstan annually celebrates the day of its national currency - the tenge. This date coincides with the professional holiday known as Finance Day, which has been designated to align with it. The introduction of the national currency in 1993 marked a turning point for Kazakhstan's economy, which was in urgent need of its own currency. The evolution of the tenge over the past 31 years is detailed in this article by a Tengrinews.kz correspondent.

Birth of the National Currency

Back in 1992, the young republic faced challenges in obtaining paper money. Kazakhstan received Soviet-era rubles from Russia: initially, they were provided for free, but after the budgets were separated, payments became necessary, and the country’s budget lacked sufficient funds. Additionally, Russia itself was undergoing significant monetary reforms, withdrawing old rubles from circulation and replacing them with new ones. Negotiations to create a unified ruble zone reached an impasse.

In 1992, a working group was established in Kazakhstan, led by the First Deputy Prime Minister Daulet Sembayev, to define the principles of independent financial and credit policy. Among several options considered, including the creation of "Kazakh rubles," the parallel introduction of a national currency alongside the ruble, and the establishment of a temporary currency, the most risky option was ultimately chosen: the direct introduction of a national currency. The currency was named "tenge," derived from the medieval Turkic small silver coins "dengi" or "tanga" (which is also the root of the word "money").

At that time, the republic did not have its own banknote printing factory, so the first batches of tenge were printed at English factories Harrison and Sons and De La Rue. To print the entire volume of currency, 7 million dollars were needed. The new money was secretly transported by Il-76 planes from London to Uralsk and then distributed across the regions of Kazakhstan.

On November 12, 1993, a presidential decree "On the Introduction of the National Currency of the Republic of Kazakhstan" was issued. Just three days later, on November 15, 1993, the tenge was put into circulation. Banks and savings institutions exchanged them for Soviet and Russian rubles at a rate of 1 tenge for 500 rubles. Kazakhstanis could exchange up to 100,000 rubles per person (a total of 200 tenge). This decision caused a frenzy and panic among the population, as many Kazakhs with large reserves of old paper money rushed to spend it, clearing store shelves of all goods.

Amounts exceeding the limit were credited at a rate of 1 tenge for 500 rubles to a special bank account, with no right to use them for six months. During this period, a special commission reviewed the source and legality of their origin.

Design of the Tenge

The design of the national currency was developed by a creative team of artists and designers, including Mendybai Alina, Timur Suleimenov, Agimsaly Duzelkhanov, and Khairulla Gabzhalilov. Various designs and images were initially considered until a series titled "Portraits" was developed, featuring images of notable figures from history and culture: 1 tenge - Al-Farabi; 3 tenge - Suyunbai; 5 tenge - Kurmangazy; 10 tenge - Shokan Valikhanov; 20 tenge - Abai Kunanbayev; 50 tenge - Abulkhair Khan; 100 tenge - Ablai Khan.

The National Bank's printing factory was launched in June 1993.

1Photo courtesy of the National Bank press service

Even earlier than the paper tenge, in 1992, coins - tiyns - with denominations of 1, 5, 10, and 20 tenge were minted.

The 1,000 tenge note was introduced in 1995, the 2,000 tenge note was first printed in 1996, and the 5,000 tenge note was introduced in 1998. In 2006, banknotes of a new series from 200 to 10,000 tenge were printed. Until 2003, all banknotes with a denomination over 100 tenge featured a portrait of Al-Farabi on the front and the mausoleum of Khoja Ahmed Yasawi on the reverse.

2Photo courtesy of the National Bank press service

In 2006, the design of the banknotes was changed. The front side featured the Bayterek monument in Astana, fragments of the national anthem, the flag and coat of arms, as well as an open palm. The reverse side displayed images of various architectural landmarks (the Ministry of Transport and Communications building, the Abai Opera and Ballet Theater, the Independence Monument, the Kazakhstan hotel, the Akorda residence, and others).

Since 2011, the National Bank has released a series called "Samruk." A distinctive feature of the new banknotes was the depiction of the "Qazaq Eli" monument on the front. The new banknotes were gradually introduced from 2011 to 2017. The reverse side of the banknotes depicted a map of Kazakhstan and notable attractions from various regions of the country: the Caspian Sea, Ustyurt Plateau, Irtysh River, and the Independence Monument in Almaty.

3Photo ©️ Tengrinews.kz / Turar Kazangapov

4Photo ©️ Tengrinews.kz / Turar Kazangapov

On November 15, 2023, marking the 30th anniversary of the tenge's introduction, the National Bank presented a new series of banknotes at the XI Congress of Financiers of Kazakhstan. It is based on elements of Saka style and reflects the country's heritage—from the unique culture of nomads to modern Kazakhstan. The front features a branch of the "Tree of Life" with a soaring bird (a detail from the Golden Man's headdress), a DNA spiral, and a stylized ornament symbolizing infinity, along with an artifact from the Berel burial mounds—a figure of a golden eagle with outstretched wings. The reverse side is adorned with images of animals that inhabit Kazakhstan.

5Photo ©️ Tengrinews.kz / Turar Kazangapov

6Photo courtesy of the National Bank press service

7Photo courtesy of the National Bank press service

How the Tenge Exchange Rate Changed

On the day the tenge was introduced, the National Bank set the exchange rate at 4.69 tenge per dollar, and by November 18, the rate had risen to 47.04 tenge for 10 dollars. Subsequently, after the establishment of the Kazakhstan Stock Exchange, the exchange rate was determined based on trading results.

8©️ Tengrinews.kz

By December, the dollar was trading at an exchange rate of 5.7 tenge. In 1994, the average annual exchange rate rose to 35.6 tenge, reaching 60.95 tenge in 1995, and remained at that level (fluctuating up to 78 tenge per dollar) for the next four years.

For the first time, Kazakhs heard about devaluation on April 4, 1999, when Prime Minister Nurlan Balgimbaev and National Bank Chairman Kadyrzhan Damitov announced on television the transition to a free-floating exchange rate. If on April 3 the currency could be bought for 88 tenge, by the end of April 5, the price of one dollar had already risen to 150-160 tenge. Soon after, the rate stabilized at 140 tenge per dollar (the average annual exchange rate in 2000 was 142.13 tenge).

9©️ Tengrinews.kz

During the relative economic upturn in the early 2000s, there was significant and prolonged strengthening of the national currency. The exchange rate gradually decreased to an average of 120.3 tenge per dollar in 2008. The global financial crisis of 2008 severely impacted the country's economy. The second devaluation occurred on February 4, 2009: within a few hours, the dollar's value in exchange offices jumped from 128 to 170 tenge, and later the tenge’s exchange rate against the dollar settled at 150 tenge. It remained at that level (between 147 and 152 tenge) until 2014.

0©️ Tengrinews.kz

In February 2014, Kazakhstan announced the