The New Zealand dollar (NZD) is the official currency of New Zealand. NZD is made up of 100 cents and is often represented by the symbol $ or NZ$ to set it apart from other currencies based on dollars. NZD also sees use in the Cook Islands, Niue, Tokelau, and the Pitcairn Islands. Overall best trades are short wide rangers, USD/JPY and JPY cross pairs. It might not rank as one of the largest countries in the world in terms of size, but New Zealand and its dollar currency holds a prominent position on the forex market.
- After a nearly 10-year long study by a government committee, the decision was made to shift the country’s currency to a decimal system.
- OANDA Corporation is not party to any transactions in digital assets and does not custody digital assets on your behalf.
- Agriculture is a major factor in the New Zealand economy; more than two-thirds of the exports are agricultural.
- The BOJ requires a lower USD/JPY to allow Imports and Exports to right size.
The 1c and 2c coins were last minted for circulation in 1987, with collector coins being made for 1988. The coins were demonetised on 30 April 1990. The lack of 1c and 2c coins meant that cash transactions were normally rounded to the nearest 5c (10c from 2006), a process known as Swedish rounding. So as the number of visitors to New Zealand rises, the economy does well and the currency appreciates.
Current exchange rates
On 11 November 2004 the Reserve Bank announced that it proposed to take the 5c coin out of circulation and to make the 50c, 20c and 10c coins smaller and use plated steel to make them lighter. After a three-month public submission period that ended on 4 February 2005, the Reserve Bank announced on 31 March that it would go ahead with the proposed changes. The changeover period started on 31 July 2006, with the old coins usable until 31 October 2006. The old 50c, 20c, 10c and 5c pieces are now no longer legal tender, but are still redeemable at the Reserve Bank. During the turbulence in global financial markets during mid to late 2008, the cumulative net long positions held by Japanese margin traders in the NZD fell by nearly 90%.
Save when you send money abroad
Pricing will depend on the location, time of year, and day of the week, so the below is just to give a general idea of cost. Use our accommodation finder to see price ranges for your specific needs. A floating currency is one with value that is permitted to change as it’s compared to other currencies. The country’s top industries include agriculture, dairy, forestry, fishing, mining, and tourism. New Zealand is one of the world’s largest exporters of whole milk powder so the NZD would most likely benefit if milk prices rise.
They add hidden markups to their exchange rates – charging you more without your knowledge. Traders and investors have favored the New Zealand dollar as a carry trade currency because the country has had higher interest rates compared to other developed nations. The NZD currency has a long history of colorful and vibrant money and, since its first issuing, has changed its printed design several times. Create a chart for any currency pair in the world to see their currency history. These currency charts use live mid-market rates, are easy to use, and are very reliable. Our NZD to USD chart gives our clients an insight into the performance of this forex pair during the last hour, day, week and month – updated in real time and calculated by our pricing engine using mid-market rates.
The New Zealand Parliament passed the Decimal Currency Act in 1964, officially transitioning to the new dollar currency in July 1967. The New Zealand Dollar is the legal currency of the island nation of New Zealand. The country is actually made up of a collection of more than 600 islands that stretch over an area of 100,000 square miles. Its two main land masses are the North Islands and South Islands. New Zealand’s currency is also the legal tender in the Pitcairn Island and the Cook Islands, and in Tokelau, Niue, and the Ross Dependency, a region in Antarctica claimed by New Zealand.
Top currency pairings for New Zealand dollar
Check live rates, send money securely, set rate alerts, receive notifications and more. Live tracking and notifications + flexible delivery and payment options. Introduced in 1840, the New Zealand Pound was the first official currency of New Zealand. Until that point, both British and Australian coins circulated in New Zealand, and continued to do so until 1897. The Pound banknotes were produced by the six different trading banks until 1924, when a single uniform design was implemented.
EUR/USD vs DXY vs CAD/ZAR
Many weeks, EUR/USD Vs DXY reveal a tight or range relationship. The next best currency for evaluation is CAD/ZAR as EUR/USD’s perfect opposite. EUR/USD trades oversold to upper averages and long is the only way forward however not much excitement exists to EUR/USD trades. EUR/USD for example traded 123 pips Vs EUR/AUD 321, EUR/NZD 329. GBP/USD traded 168 pips to GBP/NZD 435 and GBP/AUD 391 pips.
International credit cards and ATM cards will work as long as they have a four-digit PIN encoded. There is no restriction on the amount of foreign currency that can be brought in or taken out of New Zealand. However, every person who carries more than NZ$10,000 in cash in or out of New Zealand is required to complete a Border Cash Report(opens in new window). Polymer bills can go through a washing machine without suffering any material damage.
The foreign exchange designation for the New Zealand dollar is NZD. The New Zealand dollar and Australian dollar exchange rate – AUD/NZD – is one of the most widely traded cross pairs in the forex market. From 1985 forward, the kiwi was allowed to float in the foreign exchange market freely. However, New Zealand’s central bank occasionally intervenes in the forex market, selling large quantities of kiwi dollars in order to prevent the currency from increasing further in value.
However, nothing was made official until 1933, when New Zealand issued their first official coins, based on the British pound, shilling, and pence. These are the average exchange rates of these two currencies for the last 30 and 90 days. Leveraged trading in foreign currency contracts or other off-exchange products on margin carries a high level of risk and may not be suitable for everyone. We advise you to carefully consider whether trading is appropriate for you in light of your personal circumstances.
On 11 June 2007 the Reserve Bank sold an unknown worth of New Zealand dollars for nine billion USD in an attempt to drive down its value. This is the first intervention in the markets by the Bank since the float in 1985. Each banknote and coin of New Zealand’s currency looks different. The currency usually has a bird on one side of a banknote or coin as well as an important historical figure of New Zealand. Other factors affecting the NZD are dairy prices and tourism numbers.
The idea of decimalization was first raised in 1933, but was not put into place until 1967, when the New Zealand Dollar replaced the New Zealand Pound. There was much public discussion over what the new currency would be called, with ideas such as ‘kiwi’ and ‘zeal’ being proposed, but in the end, the term ‘dollar’ was chosen. https://broker-review.org/ The New Zealand Dollar was initially pegged to the US Dollar at a rate of 1.62 USD to 1 NZD. The peg rate changed multiple times until 1985, when the currency began to freely float in the market. In 1979, a new design for the New Zealand Dollar was released in an attempt to modernize, with the new bills being made of polymer.
AUD/USD was the winner last week at 180 pips and while NZD/USD at 154 pips beat EUR/USD at 132 and maintained ground Vs GBP/USD. All goods and services in New Zealand are subject to a Goods and Services Tax (GST) of 15%, which is Forex Brokers included in the displayed price. Visitors cannot claim this tax back, but if a supplier ships a major purchase to a visitor’s home address the GST will not be charged. Check the current currency rate with this currency converter.
In 1999, series 6 polymer notes replaced the paper notes. The designs remained much the same, but were changed slightly to accommodate new security features, with the most obvious changes being the two transparent windows. It is estimated that the polymer note lasts four times longer than regular linen or paper notes.