Australian Dollar

Name of currency: Australian Dollar

Country / countries used: Commonwealth of Australia, Christmas Island, Cocos (Keeling) Islands, Norfolk Island, Pacific Island states of Kiribati, Nauru, Tuvala

Symbol: $

Brief history:

The Australian dollar, sometimes abbreviated as ‘A$’ is the third most traded currency in the world. It is popular with foreign exchange rates because of how stable the Australian economy and political system is, as well as the comparatively high interest rates. The currency is commonly referred to as the “Aussie.”

The Australian dollar, whose code is AUD, was first adopted on 14 February 1966 as the first form of decimal currency. Many names were suggested for the new currency, and the original name was decided to be called the “royal.” The name proved to be unpopular and was later changed to the Australian dollar. On 25 May 2013, the Australian dollar will join with the New Zealand dollar and adopt the currency of Nauru.

The foreign exchange rate with the Australian dollar was a fixed rate prior to the year 1983. The first fixed rate was between Australian and British pounds, showing a view of how stable the British pound was believed to be. After 1983, the Prime Minister made the AUD exchange rate reflect the balance of payment among other things, therefore the exchange rate began to fluctuate.

Australia was also the first country to start a complete system of bank notes made from polymer in 1988. The purpose of notes being made out of this plastic material is to protect against counterfeit and ensure that the notes can last longer. The polymer notes are much cleaner than conventional paper and can be recycled. Australia became the first country to have a competed series of polymer notes, with many other countries following the trend of this technology.

The Australian dollar is under the control of the Reserve Bank of Australia and created new notes after joining with the Commonwealth Scientific and Industrial Research Organisation. The currency comes in $1, $2, $5, $10 and $20 notes. Coins are distributed in amounts of 5, 10, 20 and 50 cents as well as a one and two dollar coin.

For more information on currencies of the world and foreign exchange rates, visit Best Exchange Rates UK. Other features include information on private exchanges and business exchanges.