Apart from mending the handle and taking the rust off the blade, I'd leave it exactly the way it is. You could get a jambiya in perfect condition, if that's what you really want, but such a weapon would have no character. The damage adds to the mystique in my opinion.
If anyone asks, you can tell them, "Yeah, I damaged the blade in a duel with a dude who was making unwelcome advances to my girlfriend. He won't be bothering her any more..."
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