The Karbovanets (, plural: карбованці, karbovantsi for 2–4, or карбованців, karbovantsiv for 5 or more), also colloquially known as kupon (, plural: купони, kupony) or coupon from the banknote printing, is a former unit of currency in Ukraine in four separate periods of the 20th century. It is also a predecessor currency of today's Ukrainian hryvnia. The karbovanets was subdivided into one hundred kopiykas, but no denominations in kopiykas were ever issued, owing to inflation.
In the ISO 4217 standard, the official name is listed as either misspelled as karbovanetISO 4217 (2008) Amendments 50, 90List of codes for historic denominations of currencies & funds or correctly spelled as karbovanets likewise to the English version of the National Bank of Ukraine's website refers to it as Karbovanets.НБР: History of Hryvnia The ISO 4217 standard code for the currency is UAK.
History
First karbovanets (1917–1920)
Ukrainian Central Rada (1917–1918) In March 1917 in Kyiv, some political parties formed the Central Rada, which proclaimed on 20 November 1917, the foundation of the Ukrainian People's Republic. On 19 December of the same year, a temporary law about the issue of state banknotes by the UPR was adopted. According to this law: "Banknotes must be issued in karbovanets" (). Each karbovanets contained 17.424 parts of pure gold and was divided into two hryvnias () or 200 shahs ().
The etymology of the name "karbovanets" is debatable: by one supposition, it originated in Ukraine from the ancient primitive way to carve (karbuvaty, ) numbers of calculations on a rod, and by another supposition, from the carving (incision) on a rim of a metal rouble.
On 5 January 1918, the first Ukrainian banknote with a value of 100 karbovantsiv was issued. The trident depicted on the banknote was proclaimed as a National Emblem of the UPR on 25 February 1918. On all of the issued banknotes, it stated only one series, "AД" and only one number, 185.
On 20 September 1918, the Central Rada proclaimed the issue of banknotes of the State Treasure in denominations of 5, 10, 25, and 50 karbovantsiv to be valid until 1 March 1924. On 6 April, the 25-karbovantsiv banknotes and 50 karbovantsiv banknotes later appeared, but the 5- and 10-karbovantsiv banknotes were not released. This series of banknotes was issued without designation of series and number. In subsequent issues, the series indicated the place of printing: AK (Kyiv) and AO (Odesa). After the occupation of Odesa by military units of Denikin's Army in 1919, the printing house of Odesa continued printing banknotes of 50 karbovantsiv. The Ukrainian Government proclaimed money issued by the Denikinists to be false (series AO, numbers 210 and above).
In 1920, the Government of Ukraine printed some dozens of millions of banknotes for temporary use by the Revolutionary Committee in Western Ukraine. This issue of series AO had numbers from 236 to 250. The next release by the Central Rada (Parliament of Ukraine) was issued on 19 April 1918 and included denominations of 10, 20, 30, 40, and 50 shahs. The term "shah" is borrowed by the Central Rada from the ancient name of small coins (change) from as long ago as the 16th century. Shahs were printed in Kyiv in sheets of 100, perforated in order to simplify tearing off separate banknotes. Shahs were in circulation until March 1919, when they were abolished by the Soviets. There are many existing banknotes of this value.
Second karbovanets' Ukrainian State Government (1918)
The Congress of Free Husbandmen on 29 April 1918 (with the great support of Austro-German occupants), elected tsarist general Pavlo Skoropadskyi as Hetman of Ukraine. He proclaimed the overthrow of the Central Rada government and the foundation of the Ukrainian State.
In Skoropadskyi's time, the so-called "paper hryvnias" were introduced in commerce, though the Karbovanets were also used in the Ukrainian State as the official currency. The Paper Hryvnias were ordered by the Central Rada from Germany.
On 5 August 1918, the first banknote that appeared in commerce was the 3.6% state bond with the name "Bank-note of the State Treasure". State bonds were printed with eight coupons, four coupons on each side.
On 17 October 1918, the Hetman's government received from Germany another supply of banknotes with values of 2, 10, and 100 hryvnias, as ordered by the Central Rada. A bit later, banknotes of 1000 and 2000 were received. They bore the abbreviation of the Ukrainian State (УД, ), the official name of Ukraine during the Hetman's time. These hryvnias were issued on 17 October 1918, 59 days before the Hetman's overthrow.
Ukrainian Directorate (1918–1920) The defeat of Germany and Austria-Hungary in World War I also resulted in the breakup of Ukraine's occupation regime (Hetman Skoropadsky's government). On the night of 14 November 1918 in Bila Tserkva, the government of the Ukrainian Directorate was formed. Within a month, military forces of the Directorate occupied Kyiv. On 16 January 1919, the Government of the Directorate declared war on Soviet Russia. This action required issuing enormous sums of money. In Kyiv, the Directorate used reserves of banknotes which were issued previously by the Central Rada's governments.
The military campaign of the Directorate turned out to be unsuccessful, and the offensive of the Red Army forced the Directorate to leave Kyiv and to settle in Vinnytsia (5 February 1919). There, the Directorate used 3.6% state bonds for their purchasing power. Beginning in March 1919, a series of banknotes (5 hryvnias) was issued. 5-hryvnia banknotes were printed on grey paper and contained an error in their text: гривна instead of гривень. Some of the banknotes entered circulation. The next bastion for the embattled Directorate was Kamanets-Podilsk, where it held out for almost a year and issued a few more banknotes.
In August 1919, banknotes were printed with the value of 100, 250, and 1000 karbovantsiv. The 1000 karbovantsiv banknote was issued in Kyiv and entered circulation on 13 November 1918. Printing was continued by the Directorate government in October 1919 at Kam'yanets'-Podil's'kyi and in 1920 at Warsaw. Later, 10 karbovantsiv (August 1919) and 25 karbovantsiv (October 1919) were put into use. The design of the 10 karbovantsiv (tank notes) was prepared in the Hetman's period, and their obverse had the large letters УД which designated the Ukrainian state (). The last banknotes of the Directorate were prepared in Austria. The series contained banknotes of 50 and 1000 hryvnias. But they were never issued (only some specimen copies are known). On 20 November 1920, the Directorial Government was disbanded by S.V. Petlyura's edict, and its provision of currency ended.
Ukrainian SSR (1919–1920) At the beginning of 1919 in Kharkiv, by Lenin's direction, Russia financed the pro-Soviet government. However, a period of unprecedented inflation was triggered by the Civil War and resulted in a sharp deficit of circulating money, especially banknotes. The People's Commissar of Finance of the USSR, with the consent of the RSFSR government, decided to use the 10 karbovanets banknotes of the Directorate. This note's artwork (without series and numbers) was captured by the Red Army on 5 February 1919 during the takeover of Kyiv from the Petlyurian troops. The Soviet banknote differed from the Directorate's in paper, ink, watermarks, and the location of their series and numbers.
One more banknote of 50 karbovantsiv with Soviet symbols was printed. On 1 June 1919, Ukraine united with the Soviet governments of Russia, Lithuania, Latvia, and Belarus in a common front, and only one monetary unit was legitimized – the ruble of the USSR. The 50-karbovantsiv banknote is known only by some specimen copies.
Third karbovanets (1942–1945) During the Nazi occupation of Ukraine in World War II, the German occupying government (Reichskommissariat Ukraine) issued banknotes denominated in karbovanets ( in German). The karbovanets replaced the Soviet ruble at par and was in circulation between 1942 and 1945. It was pegged to the Reichsmark at a rate of 10 karbovantsiv = 1 Reichsmark.
Fourth karbovanets (1992–1996)
In November 1990, with the collapse of the Soviet command economy, the Ukrainian SSR introduced one-time coupons, which were distributed to Ukrainian residents. The coupons were created in addition to rubles in order to buy groceries and living essentials. On 10 January 1992, the karbovanets replaced the ruble at par, with the ISO 4217 code being UAK.
The karbovanets, which suffered from hyperinflation, was replaced by the hryvnia in 1996, at a rate of 100,000 karbovantsiv to 1 hryvnia. The hryvnia was introduced in 1996, and from 2 September until 16 September both the karbovanets and hryvnia were in circulation. After 16 September 1996, the use of the karbovanets as a national currency was discontinued.
Banknotes
First Karbovanets In 1917, the Central Rada of the Ukrainian People's Republic introduced 100 karbovantsiv notes. These were followed in 1918 by State Treasury notes for 25 and 50 karbovantsiv. That year also saw the issue of postage stamp currency denominated in shah and various bonds, together with state credit notes in denominations of 2, 10, 100, 500, 1,000, and 2,000 hryven. The Directorate issued notes for 100, 250 and 100 karbovanets in 1918, followed by 10 and 25 karbovanets in 1919. State notes for 5, 50, and 1,000 hryven were issued in 1920. 1 Karbovanet was worth 2 hryvni or 200 shah. 1918 seriesPictureFace valueValue inYears of printingObverseReverseKarbovanetsHryvniaShahBanknotes denominated in shah10 shah0.050.110191820 shah0.10.22030 shah0.150.33040 shah0.20.44050 shah0.250.55090 shah0.450.9901 hryvnia 80 shah0.91.81803 hryvni 60 shah1.83.6360Banknotes denominated in hryvnia2 hryvni12200191810 hryven5101000191850 hryven255050001920100 hryven5010010 0001918200 hryven10020020 000500 hryven25050050 0001000 hryven5001000100 00019202000 hryven10002000200 0001918Banknotes denominated in karbovanets10 karbovanets10202000191925 karbovanets255050001918191950 karbovanets5010010 0001918–1920100 karbovanets10020020 00019171918250 karbovanets25050050 0001000 karbovanets10002000200 000
Second karbovanets Banknotes were introduced in June 1942 in denominations of 1, 2, 5, 10, 20, 50, 100, 200, and 500 karbovantsiv (called in German). The banknotes were in dark colour, carrying nearly all inscriptions in German and a warning in both German and Ukrainian stating "falsification of banknotes is punished by imprisoning". The obverse of the notes all featured a portrait, including children, a peasant, a miner, a seaman, and a chemist. The Nazi Reichsadler also appeared.
1941–1944 Series Image Value Main colour Obverse Reverse 1 brown 2 brown 5 brown 10 brown 20 brown 50 brown 100 brown 200 brown 500 brown
Third karbovanets In 1991, notes were introduced in denominations of 1, 3, 5, 10, 25, 50, and 100 karbovantsiv (also called kuponsHyperinflation in Ukraine or coupons). All 1991 banknotes were of the same design, picturing Lybid from the monument of the founders of Kyiv on the obverse and the Sophia Cathedral on the reverse. The banknotes did not carry individual serial numbers or signatures. In 1992, banknotes for 100, 200, 500, and 1,000 karbovantsiv were issued, which carried serial numbers.
First Series Image Value Main colour Description Date of Obverse Reverse Obverse Reverse first printing issue 1 brown Lybid Kyiv Pechersk Lavra 1991 1991 3 green Lybid Kyiv Pechersk Lavra 5 blue Lybid Kyiv Pechersk Lavra 10 pink Lybid Kyiv Pechersk Lavra 25 purple Lybid Kyiv Pechersk Lavra 50 green Lybid Kyiv Pechersk Lavra 100 brown Lybid Kyiv Pechersk Lavra