2 Carlins – Papal States

In 1780, the Papal States' currency system was a complex and fragmented relic of medieval and early modern practices, reflecting the temporal power's decentralized administrative structure. There was no single, unified papal currency circulating across all its territories. Instead, the primary mint in Rome issued the Papal Scudo, which was divided into 100 Baiocchi, with smaller units like the Quattrino. However, various major cities within the Papal States—such as Bologna, Ancona, and Ravenna—also operated their own mints, producing local coinage that often differed in weight, fineness, and value from the Roman scudo. This created a cumbersome environment for trade, requiring constant exchange calculations and reliance on published tavole di ragguaglio (conversion tables).

Economically, the period was one of stagnation and fiscal strain. The state treasury was chronically depleted due to a combination of inefficient tax collection, extensive bureaucratic costs, and the revenues required to maintain Rome's grandeur and the Curia. Consequently, the government frequently resorted to debasement—reducing the precious metal content in coins—to generate short-term liquidity. This practice, alongside the circulation of a multitude of foreign coins from neighboring states like Spain, France, and various Italian entities, led to persistent inflation, a loss of public confidence in the currency, and widespread monetary confusion.

Pope Pius VI, reigning from 1775 to 1799, was aware of these monetary disorders and made some efforts toward reform. His pontificate saw attempts to consolidate debt and improve financial administration. However, any substantive monetary unification or standardization was hampered by deep-seated regional particularism, entrenched interests, and the overwhelming structural economic problems of the state. Thus, in 1780, the currency situation remained a problematic patchwork, symbolizing the broader challenges of governing the Papal States on the eve of the revolutionary upheavals that would soon sweep Europe.