Monday, June 17, 2024

Taiwan Dollar (TWD)

New Taiwan Dollar (TWD) is the official currency of Taiwan.

The currency code of

New Taiwan Dollar is TWD, and the commonly used symbols are “NT$” or “yuan“.

The Central Bank of the Republic of China (Taiwan), also known as the Central Bank of Taiwan, is responsible for issuing and managing the country’s currency supply, as well as formulating and executing monetary policy.

History of the New Taiwan Dollar

The New Taiwan Dollar was introduced on June 15, 1949, replacing the old Taiwan Dollar at a ratio of 1 New Taiwan Dollar to 40,000 Old Taiwan Dollars.

This currency reform was necessary due to the hyperinflation caused by the Chinese Civil War.

Initially the New Taiwan dollar was pegged to the U.S. dollar; however, in 1979, Taiwan switched to a floating exchange rate system.

Denominations and Breakdowns

The Taiwan dollar is divided into 100 smaller units called cents, also known as “corners” in Mandarin.

Coins are available in denominations of 1, 5, 10, 20 and 50 Singapore dollars and 50 cents.

The banknotes are available in denominations of S$100, S$200, S$500, S$1,000 and S$2,000.

The designs of Taiwanese dollars and banknotes often depict historical figures, cultural symbols and landmarks, reflecting the country’s history and heritage.

Exchange rate and economy

Taiwan has a strong and dynamic economy driven primarily by export-oriented manufacturing and technology sectors.

The country has a reputation for producing high-quality electronic, mechanical and petrochemical products. As a result, the New Taiwan Dollar has remained relatively stable in recent years.

Taiwan’s central bank closely monitors currency exchange rates to maintain exchange rate stability and minimize fluctuations against major international currencies such as the U.S. dollar, euro, and yen.

Summary

The New Taiwan Dollar is the official currency of Taiwan and is managed by the Central Bank of Taiwan.

Introduced in 1949 to replace the old Taiwan dollar, the currency has remained relatively stable thanks to the country’s strong economy and export-oriented industries.

The New Taiwan Dollar is divided into 100 cents, and there are coins and banknotes of various denominations.

Taiwan’s Central Bank monitors currency exchange rates to maintain stability against major international currencies.

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