The currency of Finland. History, appearance, currency exchange rate

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Finland is one of the states that joined the European Union in the process of a large-scale campaign for international integration. In order to strengthen economic ties with other member countries of the Commonwe alth, as well as to optimize trade processes, the leadership of the republic decided to switch to a single European monetary unit. This period was preceded by several stages in the development of the national financial system, during which different currencies of Finland were in circulation on the territory of the country.

Currency in Finland

In the era of submission to the king of Sweden, the main monetary unit in the country was the riksdaler. What currency in Finland was involved in circulation, except for the Swedish one? As a result of the military confrontation between Russia and the Swedish state, the Russian ruble becomes the official currency. The national currency first appears in Finland in 1860. She received the name brand.

Introducing own money into circulation

Russian Emperor Alexander II by his decree allowed the national currency of Finland to be put into circulation. Immediately after useof this monetary unit, it was related to the Russian ruble 1:4. That is, for one Finnish mark they gave four rubles. It should be noted that the exchange rate binding of the mark to the Russian currency was valid until 1865. Then it was decided to use the so-called Silver Standard, which was used in the Latin Monetary Union.

And already in 1878, the transition to the Gold Standard was made, which was in effect until the start of the First World War and provided for the mandatory content of each Finnish coin 1/3 gram of pure gold (and to be completely accurate, then 0.290322 grams gold - by analogy with the French franc). An interesting fact is that it was the currency of Finland and its name that became the prototype of the German currency with the same name.

Entering the Eurozone

The Republic of Finland became a member of the European Union on January 1, 1995. But the turning point for the country's monetary system was 2002, when it was decided that the state would join the Eurozone and put into circulation a common currency - the euro. It should be noted that in the manufacture of euro coins, the features of the EU member states in whose territory they will be used are taken into account. This rule also applies to the Finnish euro. So, on the reverse side of the Finnish currency coin there is a denomination, and on the front - soaring swans. The basis for such a design decision was a commemorative coin, which was made on the occasion of the eightieth anniversary of the independence of the Finnish state.

Currency exchange

Besides the euro, the American dollar has become the most popular in the country. Along with these two currencies, many others can be purchased in Finland. Currency exchange is carried out almost everywhere. It can be ferries, and hotels, and hotels, and airports or railway stations. Throughout the country, there are many special exchange offices and bank branches that are open full-time. The exchange rate in Finland is set by the ECB - European Central Bank.

It should be noted that in some local institutions for the exchange of currencies will require the presentation of an identity document. Most often we are talking about a citizen's passport. In addition, travelers, tourists and business travelers should pay attention to the fact that local legislation does not regulate the amount of currency imported into the country. In other words, there are no restrictions on this matter.