Fils (currency)

Fils is a currency unit used in several Arab countries. It is typically a subunit of a larger currency, similar to how cents are a subunit of the dollar or pence are a subunit of the pound.

The specific value and usage of the fils varies from country to country. For instance, it is used as a subunit of the Iraqi dinar (IQD) and the Bahraini dinar (BHD), with 1000 fils equaling one dinar in both cases. It is also a subunit of the Yemeni rial (YER), although its practical use in Yemen is limited due to inflation.

Historically, the term "fils" (فلس) derives from the Byzantine Greek word "follis," a bronze coin used during the Roman and Byzantine empires. This etymological connection highlights the historical trade and cultural exchange between the Arab world and the Byzantine Empire.

The physical coins representing fils are not always in active circulation, especially in countries experiencing significant inflation, where the lowest denomination coins may become practically worthless. In these cases, prices are often rounded to the nearest higher denomination. However, the fils remains a recognized unit of account in banking and financial transactions.