Sheqel Series

On June 4, 1969 the Knesset passed a law providing for the sheqel to become the currency of Israel at a date to be determined on the recommendation of the Governor of the Bank of Israel. In November 1977 conditions were considered ripe for implementing this law, and in May 1978 Prime Minister Menachem Begin and Finance Minister Simcha Erlich approved the Governor's proposal to introduce a series of sheqel banknotes identical to the Israeli pound notes except for the denominations, which were to be determined by dropping one zero from the denominations of the pound series.

The notes were prepared in the same colour and size and with the same portraits as the pound series in order to make it easier for the public to become familiar with the new denominations.

The preparations were conducted in complete secrecy over a period of more than two years. On February 22, 1980 the sheqel was declared legal tender, and the first notes went into circulation on February 24, 1980.

This was the largest series of banknotes in the history of the State of Israel. Initially there were four denominations (1,5, 10 and 50 sheqalim), but as inflation accelerated, another five were added between 1981 and 1985 - 100, 500, 1,000, 5,000 and 10,000 sheqalim.

Beginning with the IS 500 denomination, the banknotes were printed in distinct colours and standard size (76x138 mm), thus achieving a considerable economy in production costs. A new security device - a look-through - was incorporated, while special signs for the blind continued to be printed in various geometrical forms.​