Notgeld


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Notgeld

A type of German mark issued during and immediately after World War I in order to cope with persistently high inflation. These marks were not issued by the central bank; they were issued by private banks, local governments, or other organizations that were unable to keep up with the rising demand for money. However, the central bank generally redeemed notgeld until around 1923. It did not improve the inflationary situation.
References in periodicals archive ?
Because the Reichsbank's printing presses and note-distribution arrangements were insufficient for the situation, a law was passed permitting, under license and against the deposit of appropriate assets, the issue of emergency money tokens, or Notgeld, by state and local authorities and industrial concerns when the Reichsbank could not satisfy needs for wage payment.