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	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. The sol is subdivided into 100 cents, called céntimos in Spanish. 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 the 19th century to 1985. Although the derivation of sol is the Latin solidus, the word also happens to mean sun in Spanish. There is a continuity therefore with the old Peruvian inti, which was named after Inti, the Sun God of the Incas.

Until recently, the currency was called nuevo sol ("new sol"). On November 13, 2015, Peru's Congress voted to revert the name of the currency to simply sol.^[3] The renaming of the currency went into effect on December 15, 2015.^[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 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. Hitherto, the sol has retained a low inflation rate of 1.5%, the lowest inflation rate ever in both Latin and South America.^[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 cents (céntimos) and 1 sol.^[6] The 2- and 5-sol coins were added in 1994. Although 1- and 5-cent coins are officially in circulation, they are very rarely used. For this reason, the 1-cent coin was removed from circulation as of May 1, 2011. For cash transactions, retailers must round down to the nearest zero, or up to the nearest 5 cents. Electronic transactions will still be processed in the exact amount. An aluminium one-cent coin was introduced in December 2005.,^[9] and a five-cent coin 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 all coins shows the denomination. Included in the design of the bimetallic 2- and 5-sol coins are the hummingbird and condor figures from the Nazca Lines.^[11]

Banknotes

In 1990, banknotes for 10, 20, 50 and 100 soles were introduced.^[6] The banknote for 200 Soles was subsequently 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

Historical currencies of Peru
Main line Real until 1863 Sol 1863–1985 Inti 1985–1991 Nuevo sol 1991–present Non main line Peseta 1880–1882 Inca 1881–1882 Libra 1898–1931