German mark

The Deutsche Mark (German: Deutsche Mark) was the official currency of West Germany (1948-1990) and Germany (1990- 1999) until the adoption of the euro in 1999. A German mark was divided into 100 pfennig.

The Germans used to call it the "D-Mark." In Berlin, before the construction of the wall and in the months following its fall, it was called "Westmark" (west frame) to distinguish it from the frame of the German Democratic Republic, called "Ostmark" (east frame).

First issued under the Allied occupation in 1948 to replace the Reichsmark, it served as the official currency of the Federal Republic of Germany from its founding the following year until 1999, when the mark was replaced by the euro. Its coins and notes remained in circulation, defined in terms of euros, until the introduction of euro notes and coins in early 2002. The Deutsche Mark ceased to be legal tender immediately after the introduction of the euro, in contrast with the other nations of the Eurozone, where the euro and the national currencies came to circulate at the same time for a period of two months. German notes and coins continued to be accepted as valid forms of payment in Germany until February 28, 2002.

The Deutsche Bundesbank has guaranteed that all Deutsche Marks can be effectively exchanged into Euros indefinitely, and one can do so at any Bundesbank branch in Germany. The banknotes can even be sent to the bank by mail.

On December 31, 1998, the European Central Bank (ECB) fixed the irrevocable exchange rate of the Deutsche Mark, effective January 1, 1999, at 1.95,583 DM = €1.

History

Background

The mark has been the unit of currency since the first German Unification in 1871. Before this date, the different German states issued a variety of different currencies, many of which were linked to the Vereinsthaler, a silver coin containing 16⅔ grams of pure silver. Although the mark was based on gold rather than silver, an exchange rate was created between the Vereinsthaler and the mark at the rate of 3 marks per Vereinsthaler.

The first mark, known as the gold mark, was introduced in 1873. With the outbreak of World War I the mark abandoned its gold base. The currency became known as the Papiermark. The Papiermark was replaced by the Rentenmark at the end of 1923 and by the Reichsmark in 1924.

Monetary reform of June 1948

The Allied occupation authorities introduced the German mark on June 21, 1948. The old Rentenmark and Reichsmark were exchanged into a new currency at the rate of 1 RM = 1 DM as an essential currency for payment of wages, rent, etc., and a rate of 1 DM = 10 RM for the rest of the credits not deposited in public banks. Large numbers of RM10 notes were changed to 65 pfennig. In addition, each person received a subsidy of 60 DM in two parts.

The introduction of the new currency was intended to protect West Germany from a second hyperinflation and to stop the growing black market in exchange, in which even American cigars were used as bargaining chips. Although the new currency was only distributed among the three Allied-occupied zones outside of Berlin, the change did not please the Soviet authorities, who saw it as a threat. The Soviets quickly cut off all road, rail, and canal communications between the western areas and West Berlin, beginning the Berlin Blockade. In response, the United States also distributed the new currency in West Berlin.

Monetary reform in the zone occupied by the USSR

In the Soviet-occupied zone, which would later form the German Democratic Republic, the GDR mark was introduced a few days later by using special stamps on the former Rentenmark and Reichsmark to prevent the entry of banknotes from the west. In July 1948 a new series of East German marks was printed.

Bank Deutscher Länder and Deutsche Bundesbank

At the end of 1948, the Bank of the German States took over responsibility for issuing currency, followed in 1957 by the Deutsche Bundesbank. The German mark gained much of a reputation as a reserve currency at the same time that other foreign currencies succumbed to periods of inflation. It became a source of national pride and the basis of the country's economic prosperity, particularly during the German economic miracle years of the 1950s. In the 1990s, public polls revealed a clear majority of people opposed to adoption. of the euro, and even today, show a significant number of people who would prefer to return to the framework.

Monetary union with Saarland

The population of the Saar protectorate decided in a referendum to join the Federal Republic of Germany. Thus, the incorporation of the Saarland into the FRG was stipulated by the Germans and France for January 1, 1957. The new state incorporated into Germany maintained its currency, the Saarland franc, which was in a monetary union linked to the French franc.. On July 9, 1959, the Deutsche Mark replaced the Franc with an exchange rate of 100 Francs = 0.8507 DM.

The role of the framework in German reunification

The German mark played an important role in the reunification of the country. It was introduced as the official currency in East Germany in July 1990, replacing the GDR mark in preparation for complete unification on October 3, 1990. The GDR marks were exchanged at a rate of 1 to 1 for the first few 4,000 marks, and 2 RDA to 1 DM for higher amounts. Before reunification, each East German citizen was given a Begrüßungsgeld, a 100 DM cash allowance for moving to the FRG.

Stability of the Deutsche Mark

The German mark had a reputation as one of the most stable currencies in the world, due to the monetary policy on which the Bundesbank relied. Policy was tough compared to that of other European central banks, playing out along the paths of inflation and central government intervention. This policy is the founder of the current policy of the European Central Bank in relation to the euro. This stability was apparent in 1993, when speculation in the French franc and other European currencies caused a change in the European exchange rate mechanism.

Coins

The first coins were minted by the Bank deutscher Länder between 1948 and 1949. Since 1950, the legend changes to the official name of the country: Bundesrepublik Deutschland.

Before the adoption of the euro, the coins in circulation were those of the following denominations:

Denomination	Period of circulation	Metal	Diameter (mm)	Weight (g)	Reverse	Reversal	Image
1 Pfennig	1948-1949	Copper deposited in steel	16,50	2.00	Oak branch (Quercus robur)	Facial value between wheat ears
	1950-2001
2 Pfennig	1950-2001	Bronze (until 1968), Copper deposited in steel	19,25	3,25	Oak branch (Quercus robur)	Facial value between wheat ears
5 Pfennig	1948-1949	Brass deposited in steel	18,50	3,00	Oak branch (Quercus robur)	Facial value between wheat ears
	1950-2001
10 Pfennig	1948-1949	Brass deposited in steel	21.50	4,00	Oak branch (Quercus robur)	Facial value between wheat ears
	1950-2001
50 Pfennig	1948-1949	Cupronique	20,00	3.50	Woman sowing oak	Facial value
	1950-2001
1 Framework	1950-2001	Cupronique	23,50	5,50	German weapons shield (Bundesadler)	Facial value between two oak leaves
2 Marcos	1951	Cuproníquel (up to 1969), Cuproníquel deposited in nickel	25,50	7.00	German weapons shield (Bundesadler)	Facial value between two ears of wheat and grape clusters
	1957-1971		27,00	7.00	Max Planck Portrait	Facial value and German arms shield (Bundesadler)
					Portrait of Konrad Adenauer
					Portrait of Theodor Heuss
					Portrait of Kurt Schumacher
	1969-2001				Portrait of Ludwig Erhard
					Portrait of Franz Josef Strauss
					Portrait of Willy Brandt
5 Marcos	1951-1975	Silver (until 1975), Cuproníquel deposited in nickel	29,00	11,20	German weapons shield (Bundesadler)	Facial value
	1975-2001			10,00

Mints

Each German coin highlights a place, there being 5 different mintages per year that only differ in a letter that appears near the date or below it. The letters indicate the place of minting:

• A: Berlin
• D: Munich
• F: Stuttgart
• G: Karlsruhe
• J: Hamburg

It should be noted that the minting houses bearing the letters "B", "C", "E" and "H", have been closed. The letters correspond to the following cities:

• B: Vienna
• C: Frankfurt am Main
• E: Muldenhütten
• H: Darmstadt

Tickets

First series

The first series of banknotes was issued in 1948 under the sovereignty of the Western Allies. The shape of the bills was very similar to that of US dollars.

Value	Image	Dimensions
1⁄2 DM		112 mm × 67 mm
1 DM		112 mm × 67 mm
2 DM		112 mm × 67 mm
5 DM		112 mm × 67 mm
10 DM		141 mm × 67 mm
20 DM		146 mm × 67 mm
		156 mm × 67 mm
50 DM		151 mm × 67 mm
		156 mm × 67 mm
100 DM		156 mm × 67 mm

Second series

The second series, printed during 1949, also continued to be published by the Bank deutscher Länder. The banknotes with the denominations of 10 and 20 German marks are practically identical to those of the first series.

Value	Image	Dimensions
5 Pf		112 mm × 67 mm
10 Pf		112 mm × 67 mm
5 DM		112 mm × 67 mm
10 DM		112 mm × 67 mm
20 DM		141 mm × 67 mm
50 DM		146 mm × 67 mm
100 DM		156 mm × 67 mm

Third series

It was issued by the German Federal Bank between 1960 and 1965 and withdrawn at the beginning of the 90s. Due to the long period of time that these banknotes were in circulation and their conservative and solemn design, the German people once again consolidated the value of the German mark. The different denominations are shown below:

Series of 1960-1989

Denomination	Description	Preferred color	Dimensions	Picture of the reverse	Picture of the back
5 Marcos	Reverse: Portrait of a young Venetian, based on a painting by Alberto Durero (1505) Reverse: Oak leaves	Green	60 × 120 mm
10 Marcos	Reverse: Portrait of a young man, according to ancient opinion, based on a painting by Alberto Durero or Anton Neupauer, or according to subsequent investigations, in an early painting by Lucas Cranach the Old (c. 1500) Reverse: School Gorch Fock (1958)	Violeta	65 × 130 mm
20 Marcos	Reverse: The Nurembourgeois patriotic trader Elsbeth Tucher, based on a painting by Alberto Durero (1499) Reverse: A violin and a clarinet	Green	70 × 140 mm
50 Marcos	Reverse: Portrait of man, based on the picture Image of Hans Urmiller with his sonof Barthel Beham (c. 1525) Reverse: Holsten Gate in Lubeca	Brown	75 × 150 mm
100 Marcos	Reverse: The cosmographer Sebastian Münster, based on a painting by Christoph Amberger (c. 1550) Reverse: Eagle with extended wings (Federal Eagle)	Blue	80 × 160 mm
500 Marcos	Reverse: Portrait of man, based on the picture Picture of a man without a beard by Hans Maler zu Schwaz (1521) Reverse: Eltz Castle in Renania-Palatinado	Red	85 × 170 mm
1000 Marcos	Reverse: The mathematician and astronomer Johannes Schöner, based on a painting by Lucas Cranach the Old (1529) Reverse: Cathedral of Limburg del Lahn	Brown	90 × 180 mm

Fourth series

The third and last series was issued from 1989 in order to avoid the continuous counterfeiting of current banknotes. Thanks to technological advances, the new banknotes were implemented with a series of new security measures. The front face of all the denominations represents an important historical person in the life of the country, and the back face shows motifs related to the life and work of the person in question.

Before the entry of the euro, the denominations that circulated were the following:

1989-2001 Series

Denomination	Efigie	Preferred color	Dimensions	Picture of the reverse	Picture of the back
5 Marcos	Bettina von Arnim	Green	62 × 122 mm
10 Marcos	Carl Friedrich Gauss	Violeta	65 × 130 mm
20 Marcos	Annette von Droste-Hülshoff	Turquoise	68 × 138 mm
50 Marcos	Johann Balthasar Neumann	Yellow	71 × 146 mm
100 Marcos	Clara Schumann	Blue	74 × 154 mm
200 Marcos	Paul Ehrlich	Red	77 × 162 mm
500 Marcos	Anna Maria Sibylla Merian	Rosa	80 × 170 mm
1000 Marcos	Brothers Grimm	Brown	83 × 178 mm