Vietnamese Dong (VND) is issued by the State Bank of Vietnam. In recent year, State Bank of Vietnam issues some types of coin with low par value, along with issuing new banknotes made of cotton and polymer. After the withdrawal of France in Vietnam, North and South of Vietnam had two different regimes, each of which issued a different currency, commonly called “dong” but different in form. From 1954 to 1975, Vietnamese currency divided into two different types used in Northern Vietnam and Southern Vietnam. Nevertheless, owing to the difficulty in contact between localities and centers, Vietnamese central government approved authorities in Central and Southern Vietnam to issue their own currency. At that time, banknotes had par values of 1 dong, 10 dong, 20 dong, 50 dong, 100 dong, 200 dong, 500 dong, 1000 dong, and 5000 dong. On November 31 in 1946, banknotes of the government came into being. From 1945 to 1954, after the formation of the Democratic Republic of Vietnam, Ho Chi Minh President signed to issued currency of the Democratic Republic of Vietnam. Banknotes in this period issued by Indochina Bank could be exchange in banks to get silver. However, currency of Nguyen Dynasty was still issued in the countryside illegally. When Vietnam was a part of the French Indochina, currency of the whole Indochina was piastre (means “dong” in Vietnamese). Vietnam currency history underwent many historical periods. Ancient coins of Vietnam were molded by metals to form a round shape with a square hole in the center. Vietnam coin and banknotes also reflect history of Vietnam through form and patterns on coins and banknotes. Many ancient coins are some materials of archeology, but they have not been verified. Banknotes appeared in Vietnam in 1396 quite early compared to the world. Many times, each time changing reign, the king issued a new currency. In feudal time, each Vietnamese kings issued different types of currency. This can be a consequence of different economic downturns such as war actions, GDP decreasing, falling prices of commodities that form a large part of exports, purchasing power falling, credit conditions tightening, political instability inside a country, etc.Ĭurrency devaluation is often connected with badly organized monetary policy and relating to decisions of fiscal controls (Central Banking System).Vietnam currency was firstly issued in the mid-10th century under the dynasty of Dinh Bo Linh. This causes a balance of payments deficit and the inflation rate to grow. In most cases, a state’s currency devalues because of the economic downturn inside a country. High taxes, inflation, corruption, and political restrictions had led to a very low price for this currency on the global market. It created its national currency, the Belarusian Ruble, which exchange rate remained stable since 2016. The Belarusian Republic appeared in 1992, after the USSR’s collapse. The denomination was implemented on the 1st of July 2016. That is why the government decided to change Rial to Toman and slash four zeroes from its face value, i.e., 10,000 old Rials will convert to 1 Toman.ġ USD = 24,155 BYR (US dollar to before Belarusian Ruble denomination). The sanctions also covered other industries, including petrochemistry and metallurgy.īy May 2020, Iran faced galloping inflation, and its currency was devalued by 600%. It created a critical deficit in its national budget. Iran could no longer export its petroleum, which brought about 69% of income annually. The sanctions were sharpened, restricting the country's access to the world commodity markets. claimed that Iran proceeds its nuclear program. It improved the situation and stabilized the local currency. In 2015, the Iranian government agreed to sign the nuclear agreement with the U.S., France, UK, China, Russia, and Germany for the sanctions mitigation. All of this damaged economics and devalued the currency almost by 400%. The Iranian government also restricted access to foreign currency for their citizens, which led to the significant black market lift. ![]() ![]() Then came the Iran-Iraq War, and the economic sanctions because of the country’s nuclear program. Its devaluation started in 1979 after the Islamic Revolution when many businesses left the country because of the uncertain situation. ![]() The cheapest currency in the world is the Iranian Rial. 1 USD = ~514,000 IRR (US dollar to Iranian rial – black market rate).ġ USD = 42,285 IRR (US dollar to Iranian rial – official rate).ġ EUR = ~564,000 IRR (Euro to Iranian rial – black market rate).ġ EUR = 46,424 IRR (Euro to Iranian rial).
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