Flag of the Saar Protectorate
History
The Saar is named after the river with the same name, and is rich in natural resources such as coal. It borders Luxembourg, the French region of Alsace-Lorraine and the German state of Rhineland-Palatinate. The people of the Saar speak a Franconian German dialect similar to other Germanic dialects spoken in its vicinity.
Territory of Saar Basin (1920-1935)
After Germany's defeat in World War I, France demanded compensation for inflicted damage. One the results was that the Saar Basin was occupied by France so it could claim its coal production. Although neighbouring Alsace-Lorraine was reannexed by France, the Saar became a League of Nations mandate with a 15-year term. A plebiscite held at the end of this term in 1935 resulted in the area returing to Germany. By that time it had become a focus of German national-socialist propaganda.
Saar Protectorate (1947-1956)
France claimed the Saar again after the Second World War. In 1947 it was turned into a French protectorate, even before the establishment of the Federal Republic of Germany in 1949.
Partition of Germany after 1945, with the Saar Protectorate in the south west.
While the French initially sought to eventually annex the Saar because of its large coal deposits, it eventually changed its mind about a future relationship with Germany in the early 1950's. The territorial dispute led to a complete change in thinking, as the countries became convinced that cooperation would offer a better future for Europe. As a result the European Community for Coal and Steel was established in 1952, and became a precursor to the EEC and the EU. One can say that Saarland was perhaps the turning point in Franco-German relations after 3 wars in seven decades had caused so much destructive rivalry between the two nations. This change in policy required quite some courage at that time.
In 1955 the people of the Saar rejected full autonomy in a referendum, wishing reunification with Germany instead. A year later both France and Germany signed the Saar Treaty that organised the Saar's return, but secured its coal production for France until 1981. On the 1st of January 1957 Saarland became the newest Bundesland of Germany.
Currency and coinage
Territory of Saar Basin (1920-1935)
From 1920 the French Franc circulated alongside the German Papiermark, and from 1923 it was only the French Franc that was legal tender in the Saar. Despite this some coal mines issued their own paper money in response to shortages in money supply. After the Saar Basin was returned to Germany in 1935 the Reichsmark replaced the French Franc at a rate of 0.1645 RM per Franc.
Saar Protectorate (1947-1956)
Immediately upon establishing the protectorate, the French authorities replaced the Reichsmark with the Saar Mark. In 1948 this Mark was replaced by the French Franc at a rate of 20 Mark.
In 1954 coins of 10, 20, 50 and 100 Saarland Francs were introduced with the same compositions and sizes as regular French coinage of that time. The Saar Franc was never an independent currency.
From 1956 the French Franc started falling in value versus the Deutschmark. Initially worth 1.20 DM per 100 Francs, it had dropped to 0.8507 DM in 1959 which was the fixed rate to which Saarland replaced its Francs.
https://en.numista.com/catalogue/sarre-1.html