What is the currency of Kuwait?

The currency of Kuwait is the Kuwaiti dinar.

The Kuwaiti dinar, abbreviated KD and identified by the ISO code KWD, was introduced in 1961. It replaced the Gulf rupee, which had been linked to the Indian rupee and circulated widely in the Persian Gulf. The Central Bank of Kuwait has issued the dinar since 1969, when it replaced the earlier Kuwait Currency Board.

Unlike many currencies, the dinar is divided into 1,000 fils rather than 100 smaller units. Kuwait issues dinar banknotes in denominations including ¼, ½, 1, 5, 10, and 20 dinars, along with fils coins. The currency is managed against a basket of currencies rather than being fixed solely to the U.S. dollar.

A notable episode came during Iraq’s 1990 invasion of Kuwait, when Iraqi currency temporarily replaced the Kuwaiti dinar and large quantities of Kuwaiti notes were stolen. After Kuwait’s liberation, the dinar was restored and a new banknote series helped invalidate the stolen notes. The Saudi riyal, Omani rial, and Bahraini dinar are separate Gulf currencies.