Economics

What is the Currency of the Netherlands?

The official currency of the Netherlands is the euro.

Netherlands, like most of the European countries, use the Euro as its official currency. The Euro was adopted as the country’s official currency in 2002, although the currency itself has been in use in the Netherlands since 1999 but only by electronic means and traveler’s check. Travelers visiting the Netherlands are often advised to convert their currencies to euro since no other currency apart from the euro is accepted in the country. The euro currency, like in other EU countries, is meant to eliminate headaches that European travelers would experience prior to the introduction of Euro. The euro came in both coins and banknotes in a wide range of denominations. Prior to the adoption of Euro, Dutch guilder was the Netherland’s currency.

Dutch Guilder

The Dutch guilder was the Netherlands’ currency between the 1680s and 2002 when it was officially replaced by the euro. The guilder became a subunit of the euro between 1999 and 2002 with payments mainly done in guilder since there were no euro coins and banknotes. The term gulden was a Dutch adjective for “golden” indicating that the currency coins were made of gold. The currency was denoted by “f” or “fl” symbol derived from an old currency known as Florin. The original guilders had the image of Pallas Athena upstanding while holding a spear with a hat on top of it. The guilders replaced the silver coins that circulating in the United Netherlands. It was replaced by the French franc between 1810 and 1814 but was readopted after the Napoleonic wars. The guilder became decimalized in 1817 with one guilder subdivided into 100 cents. However, the last pre-decimal coin was withdrawn in 1848. The guilder was replaced by the euro in 2002 at an exchange rate of one euro for 2.20371 guilders. The banknotes that were in circulation at the time of the change of currency can still be exchanged until 2032.

Dutch Guilder Coins And Banknotes

Dutch guilders were minted in both coins and banknote. The first coins were made of silver, gold, and copper in different denominations. The circulating coins were redesigned in 1982 after the coronation of Queen Beatrix featuring the profile of the queen. The production of the guilder coins ceased after 2001. At the time of conversation, the circulating coins were in the denominations of 5, 10, and 25 cents, 1 and 5 guilders. Banknotes were in the denominations ranging from 5 to 1000 guilders. The notes depicted several Dutch celebrities including Joost Van den Vondel, Frans Hals, and Baruch de Spinoza.

Euro Banknotes And Coins

The euro currency was minted both in coins and banknotes. Coins were minted in several denominations ranging from 1 to 50 cents and € 1 and € 2. All the coins feature Queen Beatrix on the reverse. Banknotes were issued in the denominations of 5 to 500 euros.Coins tend to be more prominent in the Netherlands than the banknotes since most of the local businesses refuse to accept banknotes of larger denominations. While most of the Eurozone countries do not accept 1 and 2 cents, the denominations are still widely acceptable

More in Economics