Peruvian sol

Peruvian sol
sol peruano (Spanish)
1 sol (Obverse) 1 sol (Reverse)
ISO 4217
Code	PEN
Number	604
Exponent	2
Denominations
Subunit
1⁄100	céntimo
Plural	Soles
céntimo	céntimos
Symbol	S/
Banknotes
Freq. used	10, 20, 50, 100 soles
Rarely used	200 soles
Coins
Freq. used	5, 10, 20, 50 céntimos, 1, 2, 5 soles
Demographics
Date of introduction	July 1, 1991
Replaced	Peruvian inti
User(s)	Peru
Issuance
Central bank	Central Reserve Bank of Peru
Website	www.bcrp.gob.pe
Mint	National Mint (Casa Nacional de Moneda)
Valuation
Inflation	2%
Source	[1] January 2014

The sol (Spanish pronunciation: [ˈsol]; plural: soles; currency sign: S/)^[2] is the currency of Peru; it is subdivided into 100 céntimos ("cents"). The ISO 4217 currency code is PEN.

The sol replaced the Peruvian inti in 1991 and the name is a return to that of Peru's historic currency, as the previous incarnation of sol was in use from 1863 to 1985. Although sol in this usage is derived from the Latin solidus, the word also means "sun" in Spanish. There is thus a continuity with the old Peruvian inti, which was named after Inti, the Sun God of the Incas.

At its introduction in 1991, the currency was officially called nuevo sol ("new sol"), but on November 13, 2015, the Peruvian Congress voted to rename the currency simply sol.^[3][4]

History

Because of the bad state of economy and hyperinflation in the late 1980s, the government was forced to abandon the inti and introduce the sol as the country's new currency.^[5] The new currency was put into use on July 1, 1991, by Law No. 25,295, to replace the inti at a rate of 1 sol to 1,000,000 intis.^[6] Coins denominated in the new unit were introduced on October 1, 1991, and the first banknotes on November 13, 1991. Since that time, the sol has retained an inflation rate of 1.5%, the lowest ever in either South America or Latin America as a whole.^[7] Since the new currency was put into effect, it has managed to maintain a stable exchange rate^[8] between 2.2 and 3.66 per United States dollar.

Coins

The current coins were introduced in 1991 in denominations of 1, 5, 10, 20, and 50 céntimos and 1 sol.^[6] The 2- and 5-sol coins were added in 1994. Although one- and five-céntimo coins are officially in circulation, they are very rarely used. For this reason, the aluminium one-céntimo coin introduced in December, 2005,^[9] was removed from circulation on May 1, 2011. For cash transactions, retailers must round down to the nearest ten céntimos or up to the nearest five. Electronic transactions will still be processed in the exact amount. An aluminium five-céntimo coin was introduced in 2007.^[10] All coins show the coat of arms of Peru surrounded by the text Banco Central de Reserva del Perú ("Central Reserve Bank of Peru") on the obverse; the reverse of each coin shows its denomination. Included in the designs of the bimetallic two- and five-sol coins are the hummingbird and condor figures from the Nazca Lines.^[11]

Banknotes

Banknotes for 10, 20, 50, and 100 soles were introduced in 1990.^[6] The banknote for 200 soles was introduced in August, 1995.^[12] All notes are of the same size (140 x 65 mm) and contain the portrait of a well-known historic Peruvian on the obverse.^[13]

See also

• Numismatic series Wealth and Pride of Peru
• Numismatic series Natural Resources of Peru
• Economy of Peru
• Peruvian inti

References

External links

• Banknotes and Coins from the Central Bank of Peru
• Peru Banknotes: full detailed catalog