The dinar was introduced in 1960, having been established as a unit of account in 1958. It replaced the FRANC at a rate of 1000 francs = 1 dinar. The dinar did not follow the devaluation of the French franc in 1958, resulting in the initially exchange rate of 1000 French francs = 1 dinar being abandoned. Instead a peg to the US DOLLAR of 0.42 dinar = 1 dollar was established which was maintained until 1964, when the dinar devalued to 0.525 dinar = 1 dollar. This second rate was held until the dollar was devalued in 1971. ]
