United Arab Emirates dirham Bank notes
The United Arab Emirates dirham was introduced in 1973. It replaced the Qatar and Dubai riyal at par. The Qatar and Dubai riyal had circulated since 1966 in all of the emirates except Abu Dhabi, where the dirham replaced the Bahraini dinar at 1 dirham = dinar. Before 1966, all the emirates that were to form the UAE used the Gulf rupee. As in Qatar, the emirates briefly adopted the Saudi riyal during the transition from the Gulf rupee to the Qatar and Dubai riyal. On 28 January 1978, the dirham was officially pegged to the IMF's Special Drawing Rights (SDRs)[1]. In practice, it is pegged to the dollar for most of the time[2]. Since November 1997, the dirham has been pegged to the 1 dollar = dirhams[3], which translates to approximately 1 dirham = dollar. The name Dirham derives from the Greek word Drachmae, being one of the most widely used currencies of all time. Due to centuries old trade and usage of the currency, dirham survived through the Ottoman regime.
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