ABSTRACT
Currency Reform In order to come to grips with inflation, the chaotic state of the currency had to be remedied. On 15 October 1923 the Rentenbank was founded with a registered capital of 3.2 thousand million Rentenmarks. This was backed by an internal loan on the basis of real assets.1 Two mortgages of 1.6 thousand million Rentenmarks each were imposed on agricultural lands and on industrial property. The Rentenbank notes were redeemable in 5 per cent gold mark bonds; their issue was limited to 2.4 thousand million Rentenmarks.2 For these reasons public confidence in the new currency was high. In November 1923 the Rentenmark was fixed at one pre-war gold mark and at one trillion paper marks. Rentenmark and paper mark existed side by side.
