Currency of Vietnam, its history, course and face value

Currency of Vietnam

Today, the national Vietnamese currency is the dong. On the world

in the market it is denoted as VND or đ. The cost of one dong is very low and is about 22,000 units for one US dollar. In addition, theoretically, the dong is divided into 100 su or 10 hao, however, due to the low purchasing power in circulation, they do not occur. Currency of Vietnam - it is a non-convertible currency that is used only domestically and is subject to severe devaluation. In 2007, the Vietnamese government launched the latest reform, in which the dong should become a weakly dollar-dependent convertible currency. However, today this reform has a different effect on the situation in the country, continuing the constant tendency to depreciate the national banknote. The currency of Vietnam to the ruble correlates with the rate of 1 RUB = 643 VND or 1000 VND = 1,6 RUB, with the tendency of a constant decrease in dong. Although the Russian currency can also show devaluation, only, as we all know, she likes to do it in a different, sudden way, not indicating any trends.

Vietnam cash

Today, Vietnamese mainly use paper banknotes. They are distributed throughout the state and are well recognized by the population. All banknotes show the leader of the Vietnam Socialist Revolution Ho Chi Minh,

and they are issued in denominations of 100, 200, 500, 1000, 2000, 5000, 10000, 20,000, 50,000, 100,000, 200,000 and 500,000 dongs. The abundance of zeros on banknotes is explained by the fact that the currency of Vietnam very weak in its purchasing power. In addition, Visa, MasterCard and American Express plastic cards can be used there, but the number of ATMs and payment terminals in the country is very limited. It is best to come to Vietnam with cash on hand.

The history of Vietnamese money

The modern currency of Vietnam is called the "New Vietnamese Dong." The word "dong" in the literal translation means copper or bronze. The ancient Vietnamese used these materials as exchange units, and this has become associated with modern residents of Vietnam with money. They now call dong any other currency. For example, the Vietnamese also call the ruble or dollar “dong,” only with prefixes that indicate monetary

belonging to one or another state (“rup” or “do_la”). The Vietnamese dong began its new history in 1946, in the northern part of the country. South Vietnam, since it was part of the colony, even before 1952 enjoyed the piastre of French Indochina. The history of this state in the 20th century was filled with a large number of wars for independence from the influence of various empires, which all the time divided Vietnam into two parts, north and south. Also in the last century, the history of its currency was divided, before the unification of the state in 1975. But even after the victory of Vietnam and the right to be a united nation in a single state in southeast Asia, he still has a large number of enemies who have been trying all the time to weaken the country and avenge their defeat. Which, in turn, explains such a weak economic situation and low dong exchange rate .