This week, I’m going to examine a couple of aspects of money in East Germany including the official and unofficial exchange of the East German mark for the hard Western currencies which the GDR regime coveted, consumer choice, the country’s Intershop store network and then wrap up with a few notes on the currency itself.
As a soft currency, East German marks were not widely available on world markets the way Deutschmarks, Pounds or Dollars were. The official, largely symbolic, rate of exchange for the Deutsch Mark and East Mark was 1:1, however, one could find illegal currency traders in the West offering rates of between 1:8 and 1:12. I have memories of seeing such rates posted in West Berlin exchange booths in the mid- to late-1980s and remember wondering who would make use of such services as the import of East Marks into the GDR from the West was illegal and subject to criminal prosecution. Over time, I found out . . . Read More