History Of The Bolivian Boliviano: How Long Has It Been?

Bolivia's currency, the boliviano, has been around since 1864, with the exception of a period between 1963 and 1987 when the country adopted the peso boliviano. The boliviano was reintroduced in 1987, with one boliviano being worth one million pesos bolivianos.

The history of the Bolivian boliviano

The boliviano was first introduced in 1864, replacing the Bolivian sol at a rate of eight soles to one boliviano. The name bolivar was used for an amount of ten bolivianos. The first boliviano was in use until 1963, when it was replaced by the peso boliviano, which was worth 1,000 first bolivianos. However, due to rampant inflation, the peso boliviano was short-lived, and in 1987, it was replaced by the second boliviano at a rate of one million to one.

The second boliviano has been in use since then, with coins and banknotes produced both domestically and abroad. In 2018, a new family of banknotes was introduced, bearing the formal name of the country, "Estado Plurinacional de Bolivia" (Plurinational State of Bolivia), reflecting the country's multiculturalism. The boliviano has seen periods of fixed exchange rate regimes and is currently considered one of the fastest-growing economies in Latin America.

The history of Bolivia and its currency is a fascinating journey through centuries of cultural exchange, political upheaval, and economic transformation. Today, Bolivia continues to strive for economic stability and prosperity, carrying the pride and resilience of its people.

The currency's name before 1864

The boliviano has been the national currency of Bolivia since 1987. However, the name and currency have undergone several changes since 1864.

From 1827 to 1864, the Bolivian sol was the national currency, replacing the Spanish real at par. Sixteen soles were equal to one Bolivian escudo, and eight soles were equal to one boliviano.

In 1864, the first boliviano was introduced, worth eight soles and divided into 100 centécimos (later centavos). The name bolivar was used for an amount of ten bolivianos. This was the currency of Bolivia until 1963.

In 1963, the boliviano was replaced by the peso boliviano, which was worth 1,000 first bolivianos. This currency was short-lived, lasting until 1986.

Finally, in 1987, the second boliviano was introduced, with one boliviano being worth 1,000,000 peso bolivianos. This is the currency that is still in use today.

The currency's value today

The current form of the Bolivian boliviano, also known as BOB, emerged in 1987, but previous variations of the currency have existed since 1864. The boliviano is the national currency of Bolivia and is issued and managed by Bolivia's central bank, the Banco Central de Bolivia.

The boliviano is made up of 100 subunits called centavos. Coins are available in denominations of 10, 20, and 50 centavos, as well as one, two, and five bolivianos. Banknotes come in denominations of 10, 20, 50, 100, and 200 bolivianos.

The Banco Central de Bolivia has maintained the boliviano's value at 6.9 bolivianos per US dollar since 2012. In other words, one US dollar is worth 6.89 Bolivian bolivianos. The exchange rate between the Bolivian boliviano and the US dollar is 14.64 US dollars for every 100 Bolivian bolivianos.

Bolivia has experienced significant currency devaluations in its history, but the current boliviano has been relatively stable. The country's economy has also grown steadily, with its per-capita GDP increasing from roughly $4,800 in 2008 to over $9,000 in 2019.

Bolivia's economy is heavily dependent on mining, with most of the country's exports being dependent on this sector. The country has the world's largest lithium reserves and is a significant producer of silver, tin, and zinc.

The Bolivian boliviano is a very stable currency, and the country's inflation rate has remained low, even during the COVID-19 pandemic.

The coins and notes of the boliviano

The boliviano is the currency of Bolivia and has been around in two iterations. The first boliviano was in use between 1864 and 1963, and the second boliviano has been in use since 1987.

Coins of the Boliviano

The current series of coins in Bolivia were introduced in 1987, with stainless-steel 2, 5, 10, 20 and 50 centavos and 1 boliviano coins. This was followed by the introduction of a stainless-steel 2 bolivianos coin in 1991, a copper-plated steel 10 centavos in 1997, and a bi-metallic 5 bolivianos in 2001. The 2 and 5 centavo coins are no longer in circulation. The 1 boliviano coin is round, while the 2 boliviano coin is undecagonal, although the two coins are similar in size. All the coins in Bolivia have the value with the inscription "La union es la Fuerza" ("Union is strength" in Spanish) on the obverse. Older coins feature the coat of arms of Bolivia with the inscription "Republica de Bolivia" (Republic of Bolivia) on the reverse, while newer ones feature the coat of arms with the inscription "Estado Plurinacional de Bolivia" (Plurinational state of Bolivia).

Banknotes of the Boliviano

The current series of banknotes in Bolivia were introduced in 2018, with the 10 Bs note being the first to be introduced. These notes are the first to bear the formal name of Bolivia "Estado Plurinacional de Bolivia" (Plurinational State of Bolivia), reflecting the multiculturalism of the country. The 200 Bs note was introduced in April 2019.

The previous series of banknotes were introduced in 1987, with provisional issues of 1, 5, 10 and 50 centavos, and 1, 5 and 10 bolivianos. Regular issues followed the same year in denominations of 2, 5, 10, 20, 50, 100 and 200 bolivianos. The 2 and 5 boliviano notes were replaced by coins in 1991 and 2001, respectively, although the 5 boliviano note is still listed as "in circulation" by the Bolivian central bank.

The history of Bolivia

Ancient Civilisations and Spanish Colonisation

Bolivia's history can be traced back to ancient civilisations such as the Tiwanaku, who reached an advanced level of civilisation before being conquered by the rapidly expanding Inca Empire in the 15th and 16th centuries. The Incas themselves were soon conquered by Spanish conquistadors led by Francisco Pizarro in the early 16th century. The region that is now Bolivia fell under Spanish colonial rule, becoming part of the Viceroyalty of Peru and later the Viceroyalty of Rio de la Plata.

Independence and Republic

In the late 18th century, a notable but ultimately unsuccessful indigenous revolt against Spanish rule was led by Túpac Amaru II. However, the struggle for independence continued, and in the early 19th century, Upper Peru joined the Spanish American wars of independence. After 16 years of fighting, the Bolivian Republic was established in 1825, named after the Venezuelan leader Simón Bolívar.

19th and Early 20th Century

Following independence, Bolivia experienced a period of political instability and territorial losses. In the 19th and early 20th centuries, Bolivia lost control of several peripheral territories to neighbouring countries, including the War of the Pacific (1879) with Chile, which resulted in Bolivia losing its access to the sea. During this period, tin replaced silver as the country's primary source of wealth, and a succession of civilian and military governments ruled the country.

Mid-20th Century to Present

Bolivia's history in the latter half of the 20th century was marked by political upheaval and social reform. The Bolivian National Revolution of the 1950s, led by the Revolutionary Nationalist Movement (MNR), introduced universal adult suffrage, nationalised the country's tin mines, and implemented land reforms. However, the country also experienced a series of coups and dictatorships, including the CIA-backed regime of Hugo Banzer in the 1970s.

In the 21st century, Bolivian politics was dominated by Evo Morales until his resignation in 2019 amid a political crisis. After a period of interim rule, Luis Arce was elected president in 2020, and Bolivia continues to face internal divisions and challenges.

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