The Monetary System of the Mughal Times
By Gottlieb L. Schanzlin
Summary
This economic history piece surveys the currency system of the Mughal empire from the reign of Akbar to Aurangzeb. The author explains Akbar’s monetary reforms, including the introduction of the rupia (silver rupee) and standardized weights that replaced the myriad local coins circulating in the sultanates. He details the hierarchy of coins—gold mohurs, silver rupees and copper dams—and their respective weights and purity. The article emphasises the role of the minting system, noting that mints were located in major provincial capitals and that mint-masters were required to stamp coins with the emperor’s name and regnal year. The author also discusses the Mughal practice of periodically recalling coins to melt them down, a policy that generated revenue through seigniorage. Trade with Europe and Central Asia is considered, highlighting how the rupee became a dominant medium in international commerce. Finally, the article touches on the problem of debasement during the later Mughal period, which contributed to economic instability.
Conclusion
The article concludes that the Mughal monetary system was remarkably sophisticated for its time, achieving standardisation across a vast empire and facilitating both domestic and international trade. Nevertheless, fiscal pressures and debasement in later years foreshadowed the monetary crises that accompanied the decline of Mughal authority.