The currency of Venezuela has been in circulation since the end of the 18th century. The present currency unit in Venezuela is the Venezuelan bolívar.
Pre-independence currency
Peso = 8 Reales (silver)
Escudo = 2 Pesos (gold)
Venezuela shared the common Spanish-American monetary system, based on the silver peso and the gold escudo, which was used throughout Spanish America. Trade, especially in cacao, brought money to the colony in the late 17th century in the form of coin from the Mexico money supply, which increased significantly after the Compañía Guipuzcoana de Caracas obtained a trade monopoly in 1729, and Spanish and Spanish-American coin became a common form of payment. The prohibition on the circulation of American coin in Spain (May 4, 1754) resulted in coin from the Spanish mints returning to Spain. The Guipuzcoana Company then brought in a large quantity of cobs (macuquina) from the Lima, Potosí, and Mexico City mints. This cob coinage remained the coinage in circulation for many years, only disappearing in the first years of the Republic.
There was a special coinage for Venezuela in 1787. Claiming a shortage of circulating coin, Caracas petitioned for distinctive coins with an intrinsic value below standard that would only circulate locally. This request was granted by a royal ordinance of December 25, 1786. Another ordinance, February 3, 1787, authorized 200,000 pesos in coins only 60 percent of standard weight. These coins were minted at Mexico City and shipped on April 16. But some officials learned that the coins were not distinctive—they differed from regular coinage only in weight—and protested the issue, fearing they could be passed as regular coin. A royal ordinance of August 20, 1787 ordered the coins withdrawn and they were recalled and melted down in 1788.
The later 18th century was characterized by an inadequate money supply, and merchants used tokens (señas or fichas) to facilitate retail trade. By 1795 the use of tokens (made of iron, copper, or tin) was very widespread, but their unregulated issue and use was considered a problem. To deal with this situation, the Caracas Cabildo (council) authorized official copper tokens, and Venezuela's first mint opened at Caracas in November 1802.
Coin
1787 lightweight coinage Lightweight coinage for Venezuela, Mexico City mint: 1/2 real, 1.01 g 1 real, 20 mm, 2.02 g 2 reales, 4.05 g.
1810–1821 Struggle for independence Peso = 8 Reales
Escudo = 2 Pesos
Inspired by the French assignats, Gen. Francisco de Miranda proposed an issue of paper money, which Congress approved August 27, 1811 in the amount of one million pesos. Congress also authorized (October 25) one million pesos in copper coin. The notes were put into circulation November 18, 1811 as a forced tender backed by national revenues. August 27, 1811 (released November 18): 1, 2 4, 8, and 16 pesos. A supplement of November 27, 1811 authorized 20,000 pesos in small cardboard notes of 2 reales. The peso notes were counterfeited extensively, so a second issue of new design was authorized February 7, 1812. A third issue, authorized December 31, 1812 appeared just before the royalists occupied Caracas. The royalists recovered as many notes as possible and had them burned in La Victoria.
macuquina-style copper dated 1812: 1/8r (7,000) 1/4r (30,000) macuquina-style silver dated Año 2: medio (1/2r) (16,000) real (20,000)
Caracas - Royalist coinage
The royalists minted cob-style macuquina until 1817, then General Pablo Morillo had new-style coin inscribed "CARACAS" minted. This latter coin circulated widely; it was known as morillera in Venezuela and as caraqueña elsewhere.
copper dated 1813–1821: 1/8r (1814: 12,000; 1817: 4,500; 1818: 94,000) 1/4r (1813: 10,000; 1814: 40,000; 1816: 750,000; 1817, two types: 2.130 million; 1818: 2·240 million; 1821: 650,000) silver dated 1817–1821: real, 0·588-0·709 fine, 19–20 mm, 2·45-3·25 g (1817: 6,500; 1818: 13,787; 1820: 10,729; 1821: 8,000) 2 reales, 0·555-0·898 fine, 4·50-5·80 g (1817: 76,000; 1818: 777,000; 1819: 1·450 million; 1820: 755,000; 1821: 110,000) 4 reales (1819: 18,000; 1820: 29,000)
Barinas
When republican forces under Gen. José Antonio Páez occupied Barinas, the city was overrun by refugees. In March 1817 at El Yagual, Páez asked that all silver be turned in. He then minted silver octagonal coins for the army at Caujaral and Achaguas. Bolívar did not favor this act and decreed that the coins should not circulate outside the province of Barinas. real, 0·183-0·434 fine, 0.900-2.400 g 2 reales, 0·402 fine (about 3,500 pieces)
Guayana
Royalist copper coinage was authorized for Guayana October 26, 1813, because the province was cut off from other Spanish forces: cuartillo or 1/4 real (1813) medio or 1/2 real (1813, 1814, 1815, 1816, 1817).
Maracaibo
Royalist copper: 1/8 (1813) 1/2 (1813) silver: 2 reales (38, 181, 182, 1813, 1814).
Margarita
Republicans copper: 4 maravedis, 29 mm (1810).
1821–1830 Gran Colombia 1821–1830 Gran Colombia Peso = 8 Reales (silver)
Onza = 16 Pesos (gold)
History While Venezuela was federated with Nueva Granada (modern Colombia) and Quito (Ecuador) in Gran Colombia, 1821–1830, the monetary laws in force were those of Colombia.
Bolívar prohibited (June 20, 1821) the circulation of all copper coin and all post-1810 royalist coin that had not been counterstamped at Bogotá. Only milled coin (new or old) and the old Spanish macuquina were permitted to circulate.
Congress ordered all gold and silver coin minted in Gran Colombia to meet the old Spanish standards (Decree of September 29, 1821). Gold and silver were minted at Bogotá and Popayán, while the Caracas mint produced copper cuartillos (1/4 real) between July 14, 1821 and its closure on October 31, 1822. This copper coin was legal tender to one peso fuerte. Coins were inscribed REPÚBLICA DE COLOMBIA.
The monetary law of March 14, 1826 provided for a gold coinage based on the Colombian gold peso (peso colombiano de oro) of 1·797238 g, and a silver coinage based on the Colombian silver peso (peso colombiano de plata).
Bolívar's monetary law of November 6, 1828 confirmed the unrestricted circulation of macuquina, and the Department of Venezuela decreed (September 17, 1829) the obligatory acceptance of silver macuquina—a seller who refused legal macuquina being subject to a fine or imprisonment.
José Antonio Páez, who eventually came to lead the separatist movement in Venezuela, reopened the Caracas mint in 1829 and authorized a silver peseta (2 reales) and a copper cuartillo. The Caracas mint then closed for good (October 1830).
Coin (Caracas mint) copper: cuartillo or 1/4 real, 14.38 g (1821, 1822; 1829, 1830) silver: peseta or 2 reales (1829).
1830–1848 Peso fuerte (silver) Peso (Peso sencillo) = 8 Reales = 100 Centavos or 80 Centavos fuertes
Peso fuerte = 10 Reales = 100 Centavos fuertes (from 1832)
History The currency in 1830 was chaotic. Circulation consisted of old silver macuquina minted at Caracas under both royalists and republicans and of silver and gold coin from the various American states, especially from Colombia. Good quality silver coin tended to disappear from circulation (being used to pay for imports). Macuquina and worn coin remained to serve retail trade. The government published a table December 30, 1830 fixing the value of foreign coin in terms of local macuquina. On December 22, 1832, the Secretary of Finance ordered customs houses and finance offices to receive and pay out the silver peso fuerte as equivalent to 10 reales of silver macuquina. After this, peso or peso sencillo (current peso) indicated payment in macuquina; peso fuerte indicated payment in standard silver pesos.
On May 13, 1834 Congress gave legal tender status to: (1) the peso fuerte and onza de oro and their fractions, whether from Spain or one of the American republics, so long as they were of standard weight and fineness; (2) the peso fuerte (silver dollar) of the United States and its fractions; (3) the French franc; (4) the British shilling; and, (5) the pesos of Portugal and Brazil. A decree of June 26, 1834 ended the circulation of 1/4-real macuquina dated 1829–1830. Then on March 25, 1835 Congress authorized circulation of a hitherto unfamiliar coinage, copper centavos (cents) of the United States.
To replace macuquina, Congress authorized the government, May 2, 1840, to obtain French francs (and halves and quarters) and United States silver 5, 10, and 20-cent pieces and copper cents and half-cents. On March 23, 1841 Congress prohibited further circulation of any kind of macuquina, and macuquina was withdrawn and exchanged, 100,000 pesos in French coin being distributed to the provinces to facilitate this operation.
The monetary law of March 29, 1842 was based on the peso fuerte of 10 reales or 100 centavos. It provided for a national copper coinage (minted at London), which was legal tender for all debts public and private. When these coins were put into circulation, the legal tender status of copper cents (centavos) from the United States was revoked (October 12, 1844).
Paper The first bank to issue paper money was the Banco Colonial Britanico, established July 29, 1839 with a capital of $300,000. It issued notes for 5, 10, 20, 50, and 100 pesos sencillos. It closed in 1849.
Banco Nacional de Venezuela was created by act of Congress, May 17, 1841, with a capital of 2.5 million pesos. It was authorized to issue notes for 5, 20, 100, and 500 pesos. The only notes known (as of 2002) are for 5 and 20 pesos, printed by New England Bank Note Co. of Boston. The bank terminated operations on March 23, 1850.
Coin Copper centavos dated 1843, with liberty-head (obv), were produced at the Royal Mint, London: 1/4c, 19 mm, 3·00 g (3·84 million) 1/2c, 24 mm, 6·00 g (0·96 million) 1c, 32 mm, 12·10 g (0·48 million).
1848–1854 Franco (silver) Franco = 2 Reales = 20 Centavos
Peso = 5 Francos = 10 Reales = 100 Centavos
History The monetary law of March 30, 1848 established the French franc (franco frances), 5·00 g, 0·900 fine, as the monetary unit of Venezuela. No detailed explanation was provided—presumably, the new government wanted to make a clean break with the policies of the conservative oligarchy (Oligarquía Conservadora, 1830–1848) that it replaced. A table of coin ratings expressed in francos was published, and the Franco was declared equal to 20-centavos of the copper coins authorized between 1834 and 1842.
Coin
Liberty-head copper centavos dated 1852 were minted at Birmingham and London.
Birmingham Mint Ltd.: 1/4c, 19 mm, 2·90 g (2 million) 1/2c, 24 mm, 5·70 g (0.5 million) 1c, 31·5 mm, 11·40 g (0·25 million). Royal Mint, London: 1/4c, 16 mm, 2·70 g (4 million) 1/2c, 22 mm, 5·40 g (1 million) 1c, 30·5 mm, 10·90 g (0·5 million).
1854–1857 Venezolano (gold and silver) Venezolano (Peso) = 10 Reales = 100 Centavos
Conversion: 1 venezolano = 5 francos
History A new monetary law, April 1, 1854, provided for a mint in Caracas to produce a national coinage based on both gold and silver. The gold coins would be: onza, media onza, doblón (1/4 onza), escudo (1/8 onza), and venezolano de oro (1/16 onza or peso de oro). Silver coins were: peso fuerte or venezolano de plata, medio peso, peseta (1/4 peso), real (1/8 peso), and medio real (1/16 peso). Copper coins were to be the cuarto and octavo. The government was unable to establish the mint, and no coins were produced.
Paper Compañía de Accionistas was formed December 4, 1855 with a capital of $600,000. It issued notes for 5 pesos sencillos and rendered services to the Treasury until it closed in March 1858.
1857–1865 Peso fuerte de oro (gold) Peso fuerte de oro = 10 Reales = 100 Centavos
History