Paraguayan guaraní
Encyclopedia
The guaraní is the national currency
unit of Paraguay
. The guaraní was divided into 100 céntimo
s but, because of inflation
, céntimos are no longer in use.
The currency sign is .
at a rate of 1 guaraní = 100 pesos. Guaraníes were first issued in 1944. Between 1960 and 1985, the guaraní was pegged to the United States dollar
at 126 PYG to 1 USD.
The second issue, introduced in 1953, consisted of 10, 15, 25 and 50 centimos coins. All were again minted in aluminium-bronze but were scallop shaped and featured the lion and Liberty cap on the obverse. None of the céntimo coins circulate today.
In 1975, coins were introduced in denominations of 1, 5, 10 and 50 guaranies, all of which were round and made of stainless steel
. Since 1990, stainless steel has been replaced by brass plated steel nickel-brass. 100 guaranies coins were introduced in 1990, followed by 500 guaranies in 1997. 1000 guaranies coins were minted in 2006 and released in 2007.
.
The 1963 series (under the law of 1952) was a complete redesign. The lineup also expanded upward with the addition of 5000 and 10,000 guaraníes. This designed lasted for decades until inflation removed notes up to and including 500 guaraníes from circulation. The 1982 revision added denominations in the Guaraní language
to the reverses.
The first 50,000 guaraníes notes were issued in 1990, followed by 100,000 guaraníes in 1998. During the last two decades of the 20th century, more than one printer printed guaraní notes.
Starting from 2004, the existing denominations, except 50,000 guaraníes, underwent small but easily noticeable changes, such as a more sophisticated and borderless underprint and enhanced security features. Giesecke & Devrient
print the new 20,000 guaraní note, while De La Rue
prints the rest. In 2009, the Central Bank launched the first 2,000 guaraníes polymer-made bills, which makes the notes more durable than the traditional cotton-fiber bills.
New 50,000 guaraníes bills of series C have been printed with the date of 2005, but as they obviously reached circulation by criminal ways before being launched officially, this series has been declared void and worthless by the central bank.
in the Americas
.
In 2011, the Paraguayan guaraní will be revalued as the Nuevo guaraní (PYN) in the ratio of 1 000:1.
From day 1 (currently unknown), there will be a conversion at the rate of 1,000 ₲ = 1 N₲ ("nuevo guaraní"). After a two year transition period (with N₲ as the currency sign, and only the old billets available, probably with three zeros crossed out manually), new billets with the lower value will be introduced, re-using the name guaraní (₲) for the lower value.
Currency
In economics, currency refers to a generally accepted medium of exchange. These are usually the coins and banknotes of a particular government, which comprise the physical aspects of a nation's money supply...
unit of Paraguay
Paraguay
Paraguay , officially the Republic of Paraguay , is a landlocked country in South America. It is bordered by Argentina to the south and southwest, Brazil to the east and northeast, and Bolivia to the northwest. Paraguay lies on both banks of the Paraguay River, which runs through the center of the...
. The guaraní was divided into 100 céntimo
Céntimo
The céntimo was a currency unit of Spain and other countries which were historically influenced by Spain or Portugal . The word derived from the Latin Centum meaning "hundred"...
s but, because of inflation
Inflation
In economics, inflation is a rise in the general level of prices of goods and services in an economy over a period of time.When the general price level rises, each unit of currency buys fewer goods and services. Consequently, inflation also reflects an erosion in the purchasing power of money – a...
, céntimos are no longer in use.
The currency sign is .
History
The law creating the guaraní was passed on 5 October 1943, and replaced the pesoParaguayan peso
The peso was the currency of Paraguay between 1856 and 1944. It replaced the real at a rate of 8 reales = 1 peso. Until 1870, the peso was subdivided into 8 reales. Paraguay then decimalized, with 100 centesimos = 1 peso. The name of the subdivision was changed to centavo in 1874...
at a rate of 1 guaraní = 100 pesos. Guaraníes were first issued in 1944. Between 1960 and 1985, the guaraní was pegged to the United States dollar
United States dollar
The United States dollar , also referred to as the American dollar, is the official currency of the United States of America. It is divided into 100 smaller units called cents or pennies....
at 126 PYG to 1 USD.
Coins
In 1944, aluminum-bronze coins were introduced in denominations of 1, 5, 10, 25 and 50 centimos. All were round shaped. The obverses featured a flower with "Republica del Paraguay" and the date surrounding it, except for the 50 centimos, which featured the lion and Liberty cap insignia. The denomination was shown on the reverses.The second issue, introduced in 1953, consisted of 10, 15, 25 and 50 centimos coins. All were again minted in aluminium-bronze but were scallop shaped and featured the lion and Liberty cap on the obverse. None of the céntimo coins circulate today.
In 1975, coins were introduced in denominations of 1, 5, 10 and 50 guaranies, all of which were round and made of stainless steel
Stainless steel
In metallurgy, stainless steel, also known as inox steel or inox from French "inoxydable", is defined as a steel alloy with a minimum of 10.5 or 11% chromium content by mass....
. Since 1990, stainless steel has been replaced by brass plated steel nickel-brass. 100 guaranies coins were introduced in 1990, followed by 500 guaranies in 1997. 1000 guaranies coins were minted in 2006 and released in 2007.
Banknotes
The first guaraní notes were of 50 céntimos, 1, 5, and 10 guaraní overstamped on 50, 100, 500, and 1000 pesos in 1943. Regular guaraní notes for 1, 5, 10, 50, 100, 500 and 1000 guaraní, soon followed. They were printed by De La RueDe La Rue
De La Rue plc is a British security printing, papermaking and cash handling systems company headquartered in Basingstoke, Hampshire. It also has a factory on the Team Valley Trading Estate, Gateshead, and other facilities at Loughton, Essex and Bathford, Somerset...
.
The 1963 series (under the law of 1952) was a complete redesign. The lineup also expanded upward with the addition of 5000 and 10,000 guaraníes. This designed lasted for decades until inflation removed notes up to and including 500 guaraníes from circulation. The 1982 revision added denominations in the Guaraní language
Guaraní language
Guaraní, specifically the primary variety known as Paraguayan Guaraní , is an indigenous language of South America that belongs to the Tupí–Guaraní subfamily of the Tupian languages. It is one of the official languages of Paraguay , where it is spoken by the majority of the population, and half of...
to the reverses.
The first 50,000 guaraníes notes were issued in 1990, followed by 100,000 guaraníes in 1998. During the last two decades of the 20th century, more than one printer printed guaraní notes.
Starting from 2004, the existing denominations, except 50,000 guaraníes, underwent small but easily noticeable changes, such as a more sophisticated and borderless underprint and enhanced security features. Giesecke & Devrient
Giesecke & Devrient
Giesecke & Devrient is a German company headquartered in Munich that provides banknote and securities printing, smart cards, and cash handling systems....
print the new 20,000 guaraní note, while De La Rue
De La Rue
De La Rue plc is a British security printing, papermaking and cash handling systems company headquartered in Basingstoke, Hampshire. It also has a factory on the Team Valley Trading Estate, Gateshead, and other facilities at Loughton, Essex and Bathford, Somerset...
prints the rest. In 2009, the Central Bank launched the first 2,000 guaraníes polymer-made bills, which makes the notes more durable than the traditional cotton-fiber bills.
New 50,000 guaraníes bills of series C have been printed with the date of 2005, but as they obviously reached circulation by criminal ways before being launched officially, this series has been declared void and worthless by the central bank.
2011 Revaluation
The guaraní is currently the least valued currency unitLeast valued currency unit
The least valued currency unit is the currency in which a single unit buys the least number of any given other currency or the smallest amount of a given good. Most commonly, the calculation is made against a major reserve currency such as the United States dollar or the euro...
in the Americas
Americas
The Americas, or America , are lands in the Western hemisphere, also known as the New World. In English, the plural form the Americas is often used to refer to the landmasses of North America and South America with their associated islands and regions, while the singular form America is primarily...
.
In 2011, the Paraguayan guaraní will be revalued as the Nuevo guaraní (PYN) in the ratio of 1 000:1.
From day 1 (currently unknown), there will be a conversion at the rate of 1,000 ₲ = 1 N₲ ("nuevo guaraní"). After a two year transition period (with N₲ as the currency sign, and only the old billets available, probably with three zeros crossed out manually), new billets with the lower value will be introduced, re-using the name guaraní (₲) for the lower value.