20 Centimes – Tunisia

In 1942, Tunisia's currency situation was defined by its status as a French protectorate and the direct impact of the North African Campaign of World War II. The official currency was the Tunisian franc, which was pegged at par with the French franc and issued by the Banque de l'Algérie et de la Tunisie. This arrangement tied Tunisia's monetary policy directly to that of France, even after the fall of France in 1940, creating a complex and unstable financial environment as competing French authorities vied for control.

The Allied landings in Morocco and Algeria in Operation Torch (November 1942) and the subsequent Axis occupation of Tunisia created a zone of intense military conflict, fracturing the monetary system. Both Allied and Axis forces introduced their own military currencies to pay troops and procure supplies, leading to a chaotic circulation of British Military Authority francs, US-printed "Allied Military Currency," and Italian lire and German Reichskreditkassenscheine (military scrip). This proliferation of currencies caused severe inflation, undermined public confidence, and created a black market where exchange rates fluctuated wildly based on the shifting front lines.

Consequently, by the end of 1942, Tunisia operated under a dysfunctional multi-currency regime. The pre-war Tunisian franc remained in use but was increasingly distrusted, while various military scripts competed for acceptance amid widespread scarcity of goods. This monetary chaos reflected the broader collapse of civil administration and the severe economic strain on the local population, who faced not only the dangers of battle but also a rapidly devaluing and confusing monetary landscape that would require significant stabilization after the Allied victory in May 1943.