Venezuela Currency
Venezuela currency is Bolivar Fuerte. Venezuelan currency derives its name from Simon Bolivar. He was a soldier who lived in the 19th century and revolted against Spain. The image of Simon Bolivar appears on 100 bolivar fuerte banknote.
Bolivar Fuerte was introduced in the year 2008 in order to make financial transactions simpler and to curtail high rates of inflation. Earlier Venezuela currency was Bolivar which was introduced way back in 1879. The period prior to 1879, Venezuela had 3 currencies –
Venezuela currency denominations
You will find Venezuelan banknotes and coins. Coins are available in denominations of 1 centimo to 1 VEF or Bolivar Fuerte. As far as banknotes are concerned, denominations ranging from 2 bolivares fuertes to 100 bolivares fuertes are issued.
Images on Bolivar fuerte banknotes
The images depicted on the banknotes are of eminent personalities belonging to Venezuelan history. The 20 bolivar fuerte has the image of Luisa Caceres de Arismendi. The 10 bolivar fuerte banknote has the image of Guaicaipuro who was an Indian chief. The image on 1 bolivar fuerte coin is that of Simon Bolivar on one side and the image of coat of arms on the reverse side of the coin.
Exchange rates
Venezuelan Bolivar fuerte is equal to 0.39 United States Dollars. On January 1st 2010, the Venezuelan currency Bolivar Fuerte was pegged officially to United States Dollar. A two-tiered exchange rate system was created by the Venezuelan government on the same day.
Two categories were drawn up – one is the “non-essential” category and the other is the “essential” category. “Non-essential” import goods are exchanged at 4.3 bolivares/dollar while goods in the “essential” category are exchanged at 2.6.
A third exchange rate (unofficial) was introduced in March 2010. This rate was drawn up mainly for the black market and the exchange rate was fixed at 6.8 bolivares/dollar.
The Venezuelan government decides the category of goods that qualify for the 2.6 rate and ones which qualify for the 4.3 exchange rate. Imports are related to different sectors that may include –
Who issues Venezuela currency?
The currency of Venezuela is issued by the Central Bank of Venezuela. The private banks operating in the country were allowed to issue currency prior to 1940. The currency code of Bolivar Fuerte is VEF.
