The obverse of each note featured a notable New Zealander, while the reverse featured a native New Zealand bird and New Zealand scenery. 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. Interestingly, the polymer note can go through a washing machine without suffering any material damage. In 2016, the currency had its most recent update, with even more bright colors and updated security features.

Other economic factors, such as growth rate, GDP, unemployment, and inflation are strong and, therefore, lead to a strong currency. Other factors affecting the NZD are dairy prices and tourism numbers. New Zealand is one of the world’s biggest exporters of whole milk powder. This means that if milk prices are on the rise the New Zealand economy is likely to be doing well, which will push up the currency. 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%. In 1934, the Reserve Bank of New Zealand was established, becoming the only supplier of banknotes.

1. The currency code for Dollars is NZD, and the currency symbol is $.
2. 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.
3. These are the highest points the exchange rate has been at in the last 30 and 90-day periods.
4. The carry trade is one of the most popular trading strategies in the currency market.
5. Investing involves risk, including the possible loss of principal.
6. 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%.

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. The New Zealand Dollar was initially pegged to the US Dollar double bottom forex 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. Since that year, there have been no coins under the value of five cents and the value of cash transactions are rounded.

What Does New Zealand’s Currency Look Like?

The financial markets have since determined the currency’s value with the unit typically ranging between 39 and 88 cents against the greenback. Banks and traditional providers often have extra costs, which they pass to you by marking up the exchange rate. Our smart tech means we’re more efficient – which means you get a great rate.

A price quote for this currency pair tells the reader how many U.S. dollars are needed to purchase one New Zealand dollar. On the introduction of the dollar, coins came in denominations of 1c, 2c, 5c, 10c, 20c, and 50c. The obverse designs of all the coins featured Arnold Machin’s portrait of Queen Elizabeth II, with the legend ELIZABETH II NEW ZEALAND [date]. The reverse sides of coins introduced in 1967 did not follow the designs that were originally intended for them. Those modern art and sculpture themed designs were leaked to a newspaper and met a very negative public reaction. The final releases were given more conservative designs in line with public expectations.

New Zealand Dollar to United States Dollar

The New Zealand government has produced polymer or plastic versions of the New Zealand dollar since 1999. This has made bills more secure against counterfeiting. The polymer composition has also increased the longevity of the banknotes. Polymer bills are estimated to last four times longer than regular linen or paper banknotes. Compare our rate and fee with our competitors and see the difference for yourself. A new series of notes, known as Series 5 was introduced in 1992.

USD

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. Bank opening hours in New Zealand vary, but branches are generally open from 9.30am to 4.30pm Monday to Friday. Automated Teller Machines (ATMs) are available at bank branches, along main shopping streets and in malls. 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.

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.[19] The old 50c, 20c, 10c and 5c pieces are now no longer legal tender, but are still redeemable at the Reserve Bank. 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.

And once you’re in New Zealand, you’ll see the symbol $ used to show prices. One of the primary drivers behind how the NZD performs is the Reserve Bank of New Zealand’s (RBNZ) monetary policy. In May 2013, governor Graeme Wheeler confirmed the RBNZ had been intervening in the markets to devalue the currency after the NZD USD rate had appreciated. Vehicle hire prices can vary greatly depending on the time of year, the type of car/motorhome you want to hire and how long you are hiring it. Use our Transport finder below to check prices on supplier websites or contact them directly.

Get your Wise travel money card online for free, to send and spend money around the world at the real exchange rate. Trading in digital assets, including cryptocurrencies, is especially risky and is only for individuals with a high risk tolerance and the financial ability to sustain losses. OANDA Corporation is not party to any transactions in digital assets and does not custody digital assets on your behalf. All digital asset transactions occur on the Paxos Trust Company exchange. Any positions in digital assets are custodied solely with Paxos and held in an account in your name outside of OANDA Corporation. Digital assets held with Paxos are not protected by SIPC.

In 1971 the US devalued its dollar relative to gold, leading New Zealand on 23 December to peg its dollar at US$1.216 with a 4.5% fluctuation range, keeping the same gold value. From 9 July 1973 to 4 March 1985 the dollar’s value was determined from a trade-weighted basket of currencies. NZD/USD is affected by factors that influence the value of the New Zealand dollar and/or the U.S. dollar in relation to each other and other currencies. For this reason, the interest rate differential between the Reserve Bank of New Zealand (RBNZ) and the Federal Reserve (Fed) will affect the value of these currencies when compared to each other.

Agriculture is a major factor in the New Zealand economy; more than two-thirds of the exports are agricultural. One particular factor affecting the NZD is the price of dairy. New Zealand is the world’s biggest exporter of whole milk powder. So if milk prices are on the rise, the New Zealand economy is likely to improve and traders may price up the currency in anticipation. Tourism is another staple of the New Zealand economy, so as visits to New Zealand become less expensive, the economy will be expected to improve and the currency may appreciate. NZD/USD is the abbreviation for the New Zealand dollar and U.S. dollar currency pair.

We recommend that you seek independent financial advice and ensure you fully understand the risks involved before trading. Trading through an online platform carries additional risks. The performance of the New Zealand export market can also affect the NZD USD rate.

New Zealand’s Currency: Overview and History of the NZD

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. The kiwi also circulates in Tokelau, Pitcairn Islands, Niue, and the Cook Islands in addition to being the official currency of New Zealand. New Zealand bill denominations include $5, $10, $20, $50, and $100. The most recent issue of New Zealand banknotes is the seventh series, first released in October 2015 and May 2016. 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.

Wise is a Money Service Business registered with FinCen. In other states, the program is sponsored by Community Federal Savings Bank, to which we’re a service provider. So as the number of visitors to New Zealand rises, https://g-markets.net/ the economy does well and the currency appreciates. The first coins had pictures of the native birds of New Zealand on the “tails” side, a tradition that has continued, with the British monarch on the head side.