The Kuwaiti 20 Dinar banknote was first introduced on February 9, 1986 as part of the Third Issues released under the 1968/32 law. The brown paper bill depicts the Kuwait Stock Exchange building and the nation’s emblem on its obverse. While its reverse displays the Justice Center of Kuwait. Banknotes of this kind were among the millions of paper bills robbed by Iraqi forces from the vault of the Central Bank of Kuwait and put into circulation. The bank heist was just part of Iraq’s attempt of dominating the nation during the Gulf War.

Kuwait 20 Dinars | L.1968 (1980-1991 ND) | Source: Banknote World

The Invasion of Kuwait by Iraqi Forces 

In summer of 1990, the crisis in the Gulf began. The Gulf War was the first major international conflict after the war between the United States and the Soviet Union. 

US Aircraft During Gulf War | Source: Britannica

It all started when Iraq, led by president Saddam Hussein, set a verbal offense on Kuwait on TV on July 17. The verbal attack was then followed by Kuwait’s accusation of looting oil from the Al-Rumaylah oil field which lies at the border between the two countries.  

On August 2, armed troops from Iraq invaded Kuwait with the bombing of Kuwait City, killing about 4,200 Kuwaitis in defense. During the invasion, Iraqi authorities placed the Kuwaiti currency at par with the Iraqi dinar. 

The Invasion Mastermind 

Saddam Hussein Leader Of Iraq During the Gulf War | Source: AS

Saddam Hussein had high ambitions. So high that his resources fell short of what was needed to dominate the entire Middle East. Under his command, Iraq raided Kuwait. Apparently with the intention of making the latter a part of his dominion. With possession of the large oil reserves of the nation, and writing off Iraq’s debt of more than US$14 billion to Kuwait.  

The Aftermath Of The Gulf War

Despite having no water and scarcity of food and electricity, Kuwait restored its banking system following the liberation. Banknotes seized by Iraq were demonetized on September 30, 1990. On March 24, 1991, the Central Bank of Kuwait revived the Kuwaiti Dinar. Now with the new official exchange rate of USD 3.47 to 1 new Kuwaiti dinar. On that same day, the Fourth Issues of Kuwaiti dinar banknotes were introduced to ensure a speedy recovery of the nation’s economy. 

Kuwait 1 Dinar | 1993 | P-CS1b | Source: Banknote World

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