Klar

The Klar is the form of currency used within the Great Star Empire of Allech-Atreus. Its symbol is iK

Origins

Historically, the Empire had no official currency. Each regional government provided its own form of currency. The idea of a unified currency was tossed about during the Lakarik Emperors, but nothing came of the debate. This was mostly due to the influence of the powerful banking families, who became very rich in the thriving currency exchange business.

However, during the reign of the first Valten Emperors, the idea of a unified currency arose again. Several economic crises surrounding the regional currencies made it clear that the Empire could not rely upon the regional governments. Additionally, taxes had to be collected in multiple currencies, which turned the treasury into a choked morass (the treasury is still a bloated, choked morass, but at least it's all one currency)

First Currency

The first unified currency was the Waladar, created by the Jeddawan Emperor. This currency lasted until midway through the first Keltan line, when the Suumhan Crisis dealt a heavy blow and the currency was heavily devalued. The Directorate quickly defaulted all loans and abolished the Waladar. For a period of 60 years the Empire wallowed in depression, until the military restored order and "recieved" loans from the regional governments. The Empire was solvent, and the new Emperor immediatly created a new currency.

First Klar

The new currency was called the Klar, and its worth was based upon the assets of the Empire. This practice yielded a stable currency for a great number of years, until the reign of Allech-Atreus V. The Bazargan Crisis threatened to destabilize the Empire just as the Suumhan Crisis had, due to rampant borrowing and devaluation. Once again, the Directors acted quickly and revalued the Klar to the strength of the Imperial treasury, tied to the tax rate. They appointed an Adjudicator of the Currency to ensure stability. The Chamber of Regents passed a law that forbade all deficit spending, and raised the income tax to 100%. The treasury ballooned, and the Klar was valued highly.

Modern Klar and Regional Changes

During the reign of Allech-Atreus XII, a new plan was put into action by the regional governments. Many divested the ancient currencies they had used and adopted a form of the Klar as their own currency. The original Klar became known as the Imperial Klar, and a new breed of regional Klars sprang up. Abdus, Kolthurnia, Zembana, and Zatigao all use the Klar, with the modifier of "Adbian Klar" or "Kolthurnian Klar."

Additionally, the Directorate reevaluated their system for the Klar, and drastically slashed tax rates when growth stagnated. This skyrocketed the GDP and made the Klar very strong and stable.

Trivia

The word "Klar," though a Gaddam word meaning "Strong Worth," is also an ancient Danbian word meaning "female duck."