View source for Polish marka

{{Short description|Former currency of Poland}}
{{no footnotes|date=October 2016}}
{{Infobox currency
| name = Polish marka
| local_name1 = marka polska
| local_name_lang1 = pl
| image_1 =  Polish banknote from 1917 - 10 Marek Polskich.jpg
| image_background_1 =
| image_title_1 =Mp&nbsp;10 banknote of 1917
| image_width_1 =
| image_alt_1 =    
| iso_code =
| issuing_authority = Polish National Loan Bank (Polska Krajowa Kasa Pożyczkowa)
| issuing_authority_title = 
| issuing_authority_website =
| date_of_introduction =9 December 1917
| replaced_currency = Polish rouble
| date_of_withdrawal =April 1924
| replaced_by_currency = [[Polish złoty#Second złoty|Polish złoty]]
| unofficial_users =[[File:Flag of Central Lithuania 1920.svg|23px]] [[Republic of Central Lithuania]]
| using_countries ={{Flagicon|Poland}} [[Kingdom of Poland (1917–1918)]]<br>{{flag|Second Polish Republic}}
| inflation_title =
| inflation_rate =
| inflation_source_date =
| inflation_method =
| pegged_with =  
| pegged_by =
| superunit_ratio_1 = <!-- thru |superunit_ratio_5 = -->
| superunit_name_1 =
| superunit_inline_note_1 =
| subunit_ratio_1 = {{frac|1|100}}
| subunit_name_1 =fenig
| subunit_inline_note_1 =
| symbol =Mp
| symbol_subunit_1 =f
| nickname =
| nickname_subunit_1 = <!-- thru |nickname_subunit_5 = -->
| plural = 
| plural_slavic =y 
| no_plural =
| plural_subunit_1 = 
| coin_article =
| used_coins =1f, 5f, 10f, 20f
| frequently_used_coins =
| rarely_used_coins =
| banknote_article =
| used_banknotes = Mp&nbsp;{{frac|1|2}}, Mp&nbsp;1, Mp&nbsp;2, Mp&nbsp;5, Mp&nbsp;10, Mp&nbsp;20, Mp&nbsp;50, Mp&nbsp;100, Mp&nbsp;500, Mp&nbsp;1,000
| frequently_used_banknotes =
| rarely_used_banknotes =
| printer = 
| value = 
| printer_website =
| mint =
| mint_website =
| obsolete = yes
| footnotes =
}}
[[Image:1 Marka Polska (1919).jpg|thumb|right|200px|A rare example of a Mp&nbsp;1 note printed in 1919, when the name and structure of the new Polish state was still not certain and was thus used the neutral phrase ''Polish state'']]

[[File:20 Fenigow Av.JPG|thumb|right|20 ''fenigów'' coin]]

[[File:1919 Polish marks.jpg|thumb|right|200px|Mp&nbsp;10 and Mp&nbsp;20 from 1919]]
{{multiple image
   | direction = vertical
   | width     = 200
   | footer    = Mp&nbsp;100 note (1919)
   | image1    = 100 Marek.jpg
   | alt1      = 
   | caption1  = Obverse
   | image2    = 100 Marek reverse.jpg
   | alt2      = 
   | caption2  = Reverse
}}

The '''marka''' (alternatively '''mark'''; {{langx|pl|marka polska}}, abbreviated ''Mp'', Polish-language plural declensions: ''marki, marek'') was the currency of the [[Kingdom of Poland (1917–1918)|Kingdom of Poland]] and of the [[Second Polish Republic|Republic of Poland]] between 1917 and 1924. It was subdivided into 100 ''Fenigów'' (phonetic Polish spelling of German "[[Pfennig]]"), like its [[German Papiermark|German original]] after which it was modelled.

== History ==

During [[World War I]], in 1915, after defeating the Russians, the [[Central Powers]] occupied the whole territory of the former [[Congress Poland]] and appointed two Governors General: a German ([[Hans Hartwig von Beseler]]) in [[Warsaw]] and an [[Austro-Hungarian]] ({{Interlanguage link multi|Karl Kuk|de}}) in [[Lublin]]. The civil administration of the country was laid into the hands of imported German (mostly [[Prussia]]n) and Austrian (mostly Polish) officials. Four currencies circulated: the [[Russian ruble]], the [[papiermark]], the [[German ostrubel|ostrubel]] and the [[Austro-Hungarian krone]]. On December 9 the following year, after consultations with the Austrians, the chief of the German Administration, {{Interlanguage link multi|Wolfgang von Kries|de}} proclaimed the foundation of a new bank, called the ''Polish Loan Bank'' (''Polska Krajowa Kasa Pożyczkowa'') and the creation of a new currency unit, the Polish marka, equivalent to the German mark. The stability of the new currency was guaranteed by the German [[Reichsbank]] up to the amount of 1 billion marks.

In 1917 new coins (1f, 5f, 10f and 20f) and banknotes (Mp&nbsp;{{frac|1|2}}, Mp&nbsp;1, Mp&nbsp;2, Mp&nbsp;5, Mp&nbsp;10, Mp&nbsp;20, Mp&nbsp;50, Mp&nbsp;100, Mp&nbsp;500 and Mp&nbsp;1,000) were introduced and started to replace all the previously used currencies. All the banknotes were white with the [[Coat of arms of Poland|White Eagle]] of Poland on a red field. At the time of the [[Armistice]] of November 11, 1918, 880 million marks were already in circulation. The new Polish government decided to retain the marka as the national currency and to allow the Loan Bank to continue operating. The following year the German-made banknotes were replaced in circulation with new locally printed ones. These featured Polish historical motifs. The notes of Mp&nbsp;1, Mp&nbsp;20 and Mp&nbsp;500 depicted Queen [[Jadwiga of Poland|Jadwiga]], the notes of Mp&nbsp;5, Mp&nbsp;10, Mp&nbsp;100 and Mp&nbsp;1,000 depicted [[Tadeusz Kościuszko]]. A silver coin of Mp&nbsp;50 was planned but never issued due to the [[hyper-inflation|galloping inflation]].

Poland, already devastated after 123 years of [[Partitions of Poland|partitions]], and by 5 years of war, now entered a series of armed struggles, which crippled the economy even more. In 1920, during the [[Polish-Bolshevik War]], new banknotes of Mp&nbsp;{{frac|1|2}} with Kosciuszko and Mp&nbsp;5,000 with both the Queen and Kosciuszko came into use. There were now 5 billion marks in circulation. However, the following years the crisis deepened and by 1922 a period of truly ruinous inflation began. By then there were 207 billion marks in circulation. It was necessary to print notes of Mp&nbsp;10,000 and Mp&nbsp;50,000. At the beginning of the following year the inflation gained even more momentum and speed, and notes of Mp&nbsp;100,000, Mp&nbsp;250,000, Mp&nbsp;500,000 and Mp&nbsp;1,000,000 were introduced, only to be followed by notes of Mp&nbsp;5,000,000 and Mp&nbsp;10,000,000 later that year.

Early in 1924, financial reforms devised by politician and economist [[Władysław Grabski]] were instituted. The [[Bank Polski SA|Bank Polski]] was proclaimed as the new central bank of Poland. The marka was exchanged for a new, gold-based currency, the [[Polish złoty|złoty]], at the rate of Mp&nbsp;1,800,000 to 1&nbsp;zł. One US dollar was then worth 5.18&nbsp;zł—or Mp&nbsp;9,324,000.

== Exchange rates ==

Exchange rate of 1 US dollar to the Polish marka:
* 1919 - Mp&nbsp;90
* 1921 - Mp&nbsp;6,000
* May 1923 - Mp&nbsp;52,000
* July 1923 - Mp&nbsp;140,000
* Beginning of November 1923 - Mp&nbsp;2,000,000
* End of November 1923 - Mp&nbsp;5,000,000
* January 1924 - Mp&nbsp;9,300,000

==References==

{{Portal|Money|Numismatics|Poland}}
*Tadeusz Kałkowski, ''Tysiąc lat monety polskiej'', Cracow 1981
*[[Paweł Zaremba]], ''Historia dwudziestolecia 1918-1939'' (1 - 2), Paris 1981

==Further reading==

* Krzyżanowski, Adam (1924). "[https://www.jstor.org/stable/2548110 Currency Reform in Poland]". ''Economica'' (12): 316–325.

==External links==

{{Mark}}
{{Authority control}}

[[Category:Currencies of Poland]]
[[Category:Economic history of Poland]]
[[Category:Economy of the Second Polish Republic]]
[[Category:Modern obsolete currencies]]
[[Category:1917 establishments in Poland]]
[[Category:1924 disestablishments in Poland]]