1 Skilling – Norway

In 1782, the Kingdom of Denmark-Norway was grappling with a severe and complex currency crisis, rooted in decades of fiscal strain. The state had financed its involvement in expensive wars, particularly the Great Northern War (1700-1721) and more recent conflicts, primarily by printing vast quantities of paper money known as kurantdaler. This currency was not backed by silver, leading to a drastic loss of value and rampant inflation. By the 1780s, the kurantdaler had depreciated to roughly one-fourth of its face value in silver, creating a chaotic monetary system with a wide gap between the official and market exchange rates.

The situation created profound economic distress within Norway, which shared a currency and central bank (the Danish Rigsbank) with Denmark. Merchants and the public faced uncertainty and loss of purchasing power, while international trade was hampered by the unreliable currency. A critical problem was the existence of two parallel systems: the devalued paper kurantdaler used domestically and the stable silver riksdaler specie required for foreign transactions. This duality encouraged speculation and hoarding of silver, further draining the kingdom's precious metal reserves and undermining economic stability.

Recognizing the untenable situation, the government in Copenhagen initiated a major monetary reform in 1782, spearheaded by Finance Minister Ernst Schimmelmann. The key measure was the establishment of the Norges Banks Kurantkontor in Trondheim—a branch of the Danish central bank authorized to issue new, credible banknotes in Norway. This was a significant step toward providing Norway with a more stable and locally administered currency, aiming to restore public confidence, curb inflation, and facilitate commerce, laying early groundwork for Norway's future independent monetary system.