New Zealand Dollar. History of a monetary unit

The New Zealand dollar is a monetary unit, which is a legislatively established payment instrument at once in a number of states and territories. These include New Zealand, the Cook Islands, Tokelau, Niue and Pitcairn. According to the accepted international standard ISO 4217, the New Zealand dollar has been assigned the digital designation 554 and the letter designation NZD. In addition, the officially accepted abbreviation of the NZ $ denomination, which is placed before writing the amount, is applied.

History of a monetary unit

The use of the New Zealand dollar as a monetary unit dates back to 1967. It was then that he was put into circulation. Initially, the ratio of the new currency to the New Zealand pound, which was used in trade operations before 1967, was one to two. It will be by the way to say that the New Zealand dollar is sold in volume, only slightly inferior to this indicator to its fellow from Australia. This is facilitated by the high activity of New Zealand in world markets, as well as tight cooperation of the state in trade and political spheres with many countries of the rest of the world. In addition, the demand and quotes of the New Zealand dollar are heavily influenced by the agricultural and commodity situation.

New Zealand most of the history in the monetary sphere depended on its own mother country of Great Britain and, accordingly, on the currency strategy of the first royal mint, and then the Bank of England. Only since the middle of the XIX century on the islands was launched the process of gaining independence and the possibility of independent management. Nevertheless, it was only in 1907 that the question of introducing its own currency was raised for the first time. It became the New Zealand pound, which was launched into the money turnover instead of the British pound sterling and Australian coins. Such a monetary policy lasted 60 years, when the country's leadership decided to switch to the use of the New Zealand dollar. The new currency was not provided by the British currency. In addition, a decimal system was introduced.

Emission. Monetary unit denominations

To date, there are cash denominations in denominations of 5, 10, 20, 50 and 100 dollars. In addition, the turnover uses the New Zealand dollar in the form of coins worth 1 and 2 dollars, as well as 10, 20 and 50 cents. The Reserve Bank of New Zealand has the right to issue New Zealand currency. An interesting fact is that since 1999, the issue of bank notes is not made on paper, but on a polypropylene basis. That is in the same way as in Australia. This technology allows to increase the longevity of banknotes and secure them from damages of a different nature.

Design of banknotes and coins

The main symbol of the state of New Zealand is the kiwi bird, which is widely represented on banknotes and coins. Almost all coins are made with a picture of the Queen of Great Britain, Elizabeth II. This is because the form of government in New Zealand is a parliamentary monarchy. By the way, the New Zealand dollar has a very beautiful design, which is rightly called one of the most attractive among the existing currencies. In addition, it is very informative and contains presentations of the country's rich culture and nature. It should also be emphasized that, like on Australian dollar bills, New Zealand banknotes depict portraits of cultural figures and history that have had a significant impact on the formation and development of the young state and nation.

New Zealand Dollar exchange rate

It should be noted that the banknotes of the island state are one of the first world currencies without a strictly fixed rate. Initially, the quotation of the monetary unit was most influenced by the US dollar. On the one hand, this was due to the close economic and trade cooperation between the two countries, on the other hand, it was due to the borrowing of the US management principles and methods of industrial development. To date, the rate of the New Zealand dollar primarily depends on the export ratio in the agricultural sector, fisheries, as well as the processing industry of sea products. In addition, a significant impact on the national currency is provided by such branches of the economy as the timber and woodworking industry. The main trading partners of New Zealand are Australia, USA, Japan and China. It will be by the way to emphasize that about 70% of exports are realized in accordance with the agreements reached within the framework of the Asia-Pacific Economic Cooperation. This is due to the agreements on the need for the development of the region. The New Zealand dollar to the ruble has a rate of about 0.02 to 1.

Features of the formation of the value of New Zealand currency

At the same time, the foreign economic activity of the New Zealand government is not aimed only at developing relations with APEC. Along with cooperation with the countries of the Pacific region, the state builds mutually beneficial relations with the European Union and the Middle East. The main attention is paid to increasing the volume of export supplies to these states and associations. It should be noted that thanks to the highly developed mining industry of New Zealand, the country is adequately provided with raw materials and energy resources. There is a need for import of oil, the extraction of which decreases every year. In all other respects, New Zealand is a self-sufficient country. The export earnings of local producers are virtually independent of world oil prices, so the New Zealand dollar to the ruble has a stable position.

Taking into account the listed features of the economy and national economy of New Zealand, as well as the country's focus on exporting its products, it is possible with a high probability to forecast in the short term the rate that the New Zealand dollar will have against the major world currencies. First of all, the quotations of the national currency of New Zealand on world financial markets are affected by the situation in the agricultural market and weather conditions in the region.

Memorable coins of New Zealand

In conclusion, it should be noted that today the numismatic market presents commemorative coins issued by the Reserve Bank of New Zealand. Where can I buy a New Zealand dollar for my collection? It is not difficult to find such coins today. Silver New Zealand dollar can be purchased, for example, in the Savings Bank of Russia.