Dinar and Dirham were already used during the reign of Islam. Both were used as a means of transaction and trade during the time of Caliph Umar ibn Khattab.
Muslims first used dirhams in 642 AD or a decade after the Prophet Saw died. In those days, Caliph Umar ibn Khattab replaced the drachm with a dirham.
It was during this time that Muslims began to print their own currency using forging techniques. Meanwhile, the first dirham coin was minted by Muslims in 651 AD during the era of usman bin Affan’s leadership. The first dirham lists the inscription bismillah. Since then, the inscription bismilah has become one of the hallmarks of coins minted by Islamic civilization.
Like dinar, dirhams are also thin in shape. The size of its diameter is about 29 mm and weighs between 2.9-3.0 grams. Dirhams are lighter than drachms that reach four grams.
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In addition, the dirham coins and dinar minted by Muslims in the golden age include the name of the ruler or amir or caliph. Historical facts show that most pieces of dirhams and dinars printed during the time of Khulafaurrasyidin list the hijri year as a marker of the time the dirham coin or dinar was minted.
Umar’s government has also set the standard for the dirham and dinar coins to be made. Based on the established standards, the weight of seven dinars is equivalent to 10 dirhams. Caliph Umar had also set the standard for gold dinars, which was to use gold with a grade of 22 carats weighing 4.25 grams.
Meanwhile, silver dirhams must use pure silver weighing 3.0 grams. The decision had become an ijmak of the clergy in early Islam and in the time of the companions and tabiin. Thus, according to sharia, 10 dirhams are equivalent to seven gold dinars. The result of the ijmak becomes a handle so that the comparative value of the dinar and the dirham can remain appropriate