Which currency replaced the Israeli pound in 1980?

The Israeli shekel replaced the Israeli pound in 1980. It was introduced as Israel’s currency at a rate of 10 shekels to 1 Israeli pound and was later replaced by the new Israeli shekel in 1985 after severe inflation.

The shekel’s name comes from an ancient unit of weight and money used in the Near East. Israel revived the name for its modern currency, connecting contemporary monetary terminology with the region’s long history. The original modern shekel had the ISO 4217 code ILR in later historical listings.

The new Israeli shekel, abbreviated NIS and coded ILS, is the currency used in Israel today. It is divided into 100 agorot. This distinction is important because “Israeli shekel” can refer either to the short-lived currency of 1980–1985 or, informally, to the current new shekel.

The 1980 transition is therefore different from the 1985 redenomination: the first replaced the pound, while the second replaced the original shekel.