Buqsha – Yemeni Zaidi State

In 1895, the currency situation within the Zaidi Imamate of Yemen (often referred to by historians as the Yemeni Zaidi State) was characterized by monetary fragmentation and the circulation of a diverse mix of coins, reflecting both its political autonomy and its integration into regional trade networks. The Imamate, ruled by Imam al-Mansur Muhammad bin Yahya Hamid ad-Din, minted its own silver coinage, primarily the "Mahbub" (a type of Riyal) and fractional "Bogache" coins. These bore religious inscriptions and the name of the ruling Imam, asserting the state's sovereignty and Islamic identity. However, the domestic coinage was often limited in quantity and faced challenges in maintaining consistent silver purity.

Alongside locally minted coins, a plethora of foreign currencies circulated freely, a testament to Yemen's historic role in Indian Ocean commerce. The most important of these was the Maria Theresa thaler (MT$) , the dominant trade coin of the Red Sea region, valued for its reliable silver content. Ottoman coins from the previous occupation periods, British Indian rupees, and Egyptian currencies also circulated, particularly in coastal areas like Hodeidah. This created a complex exchange environment where merchants and money changers (sarrafs) played a crucial role in assessing and converting between different coins based on weight and fineness.

This monetary heterogeneity presented significant administrative and economic challenges. The Imam's authority to control the money supply was diluted by the influx of foreign specie, leading to fluctuations in value and facilitating smuggling. Furthermore, the state's limited minting capacity often failed to meet the economy's needs, causing liquidity issues. Consequently, the currency system of 1895 was not one of unified national finance but a pragmatic, market-driven bazaar system, highlighting the Imamate's struggle to assert full economic control while navigating the pressures of regional trade and internal tribal autonomy.