The currency of Korea - history and modernity. currency of south korea

The won is the currency of both North and South Korea. It has come a long way of development, being replaced by other money, and constantly changing its name. Her story is quite interesting, and it is useful for everyone to know about it.

Unlike the Republic, North Korea does not want to open its economy to the rest of the world. Thus, the currency of North Korea is extremely protected from the influence of the market and is regulated under the dictatorial "shoulder". The won exchange rate is controlled by the Central Bank, and only unilaterally.

Historically, the North Korean economy has not been strong and, unfortunately, not stable. Difficult relationships with other countries forced the government to prohibit the use of any foreign money within the state. The currency of South Korea is also prohibited. The economy in the country is developing poorly, and trade is at a low level. This is due to the fact that the DPRK has a terrible reputation in the world. Strange, however, although the North Korean won does not go beyond the borders of its country, it still has a market designation - KPW.

Since the Northern Republic is quite poor, not every wealthy person has computers. And, therefore, electronic manipulations with money will not work. You will not find terminals here at all.

The emergence of money in Korea

The beginning of the use of money fell on the period of the existence of Koryo (918-1392). Then Chinese coins, Korean money, fabrics and grain (usually rice) were used. Copper signs were not used until the Joseon era. The first paper money appeared, which was made from standard paper.

Korean young

The name "yang" comes from the Chinese word for a unit of mass. Such money was used from 1892 to 1902. Banknotes were not issued, only coins were present in the life of Koreans. They were made of copper and bronze. The domestic currency of Korea and the Chinese equivalent were used simultaneously. However, neither the won nor the yang received much distribution. This is due to the fact that the people at that time were not adapted to monetary calculations. It was more convenient for everyone to use natural exchange.

Korean yen

Many are interested in the question: "What currency was used in Korea during the period of the Japanese economy?" Then, when the peninsula was overtaken by colonial rule (1910-1945), the main currency in the state changed to the yen. Until 1910, it was widely used in the country, and on a par with won. It was printed in the Bank of Japan. When the Land of the Rising Sun achieved the annexation of the peninsula, the place where the money was stored was renamed Daesan Bank, and banknotes were produced there.

South Korean hwan

Hwan - the currency of South Korea in 1953-1962. When it first entered circulation, replacing the traditional won, its ratio was 1 hwan = 100 won. Until 1959, the new banknotes applied only to banknotes, but over time, the government began to issue coins as well. At the time of registration of the currency on the territory of the Republic, the official exchange rate against the dollar was 1 dollar = 100 hwan. However, the money began to depreciate very quickly. By 1961, the value of one American banknote reached a huge figure - 1300. Because of this, the next year, the won returned to use again.

South Korean Won

As mentioned above, the currency of Korea is won. It was established in South Korea in 1962. But it remained the only banknote only in 1972, when the hwans completely went out of circulation. Its international code is KRW. During the renewal of the means of payment, the exchange rate against the dollar was artificially created: 125 won = 1 dollar. However, by 1980, the cost had almost quadrupled - 580 KRW per $1.

Coins for a long time did not change their denomination - 1, 2, 10, 50 and 100, but due to the depreciation of the currency and constant inflation, a banknote with a face value of 500 won began to be minted.

Won in North Korea

The official currency of Korea is the won. However, this was not always the case. When Japan annexed the peninsula, the North came under the influence of the dominant power, due to which the money that entered the life of the people was called yen. What banknotes and coins will be issued and in what denomination, the National Bank of the Land of the Rising Sun decided. In 1945, the Soviet Union decided to print money for its army in North Korea. However, after the monetary reform, the supply of won for the Slavs ceased.

A complete ban on the use of foreign money was introduced in 2010. Since 2014, new banknotes have ceased to be with the image of Ir Sung. Instead, they began to print the leader's house and a museum with gifts.

In South Korea, the official currency is the Won and is denoted by the symbol KRW and the digital code 410. Money in South Korea circulates in the form of coins and banknotes. In permanent circulation there are coins worth 10, 50, 100 and 500 won, as well as paper bills in denominations of 1,000, 5,000 and 10,000 won.
Bank checks of 100,000 won or more are also popular. If you want to pay with them, remember that on the back of the check, you will need to indicate some details of your passport, official place of residence in the country and a local phone number, therefore, if you do not have a residence permit, this option is not acceptable for you.

What currency to take to South Korea

Almost throughout South Korea, bank credit cards are in use. The most popular ones are Visa, American Express, Diners Club, Master Card and JCB. Many services can be paid for with a plastic card; you can also withdraw cash from ATMs, which are enough in South Korea.
It is much easier to exchange currency in South Korea in US dollars. Therefore, the logical answer to the question "What currency to take to South Korea?" will be US dollars. Although in large exchange offices, any currency that is in demand is accepted. In addition to specialized exchange offices, you can change currency at airports, banks, some hotels, etc.

Import-export of currency

The customs rules adopted in South Korea allow the import of any amount of foreign currency. Currency in the amount of more than $ 10,000 or the equivalent in the currency of other countries should definitely be declared. Banknotes with a denomination exceeding this amount, and not indicated in the customs declaration, are subject to confiscation, and the violator will be fined without fail.
The export of funds of foreign monetary units must be equal to the imported amount (when importing from $ 10,000), with a smaller amount - the export of money is free. Export and import of local currency is allowed in the amount of not more than 8 million won.
When leaving the country, it is possible to exchange unused currency, but only if there is a certificate from a local bank confirming this operation. In its absence, no more than 100 US dollars will be exchanged. Therefore, be careful with the documents confirming the exchange operations. This will help to avoid trouble at the end of the holiday.

If you are going to visit South Korea, then you should definitely understand the local currency. Of course, the first thing you need to know is the exchange rate. But history is not unimportant. After all, while traveling, you will constantly deal with Korean banknotes and every time you will see the same faces on them. And, like any self-respecting tourist, you should definitely learn a little more about the people whose faces adorn Korean money.

Briefly about the main

• Name: South Korean won.
• Designation: ₩.
• Currency code: KRW.
• Denomination (banknotes): 1000₩. 5000₩, 10000₩, 50000₩.
• Denomination (coins): 10₩, 50₩, 100₩, 500₩.
• The country's central bank: Bank of Korea.
• Korean won to euro: 1000₩ = 0.81€.
• To the dollar: 1000₩ = $0.88.
• To the ruble: 1000₩ = 50.02 rubles.

Story

The won has been used as a currency for thousands of years. However, from 1910 to 1945, Korea was a Japanese colony, and Japanese money (yen) was used in the country.

In 1945, after World War II, the country split into South and North Korea. At the same time, a new currency, the won, was introduced.

Initially, the Korean won was pegged to the US dollar at a rate of ₩15=$1. This was followed by a series of devaluations, some of which were related to the Korean War.

By 1951, the won had depreciated to 6,000 won per dollar. In an attempt to solve this problem, a new currency, the hwan, was introduced in 1953, at a rate of 1 to 100 against the won.

Until 1962, the currency of South Korea was the hwan. Then Korean money became won again, and then began a long process aimed at moving to a floating exchange rate.

Despite some shocks, the exchange rate remains relatively stable and efficient.

1000 won - thinker Lee Hwang (1501-1570)

The front side of the banknote depicts an outstanding Korean scientist of the Joseon Dynasty - Lee Hwan. He possessed incredible mental abilities, was the author of many books on Confucianism. He was also extremely talented in calligraphy and poetry. Lee Hwan is a prominent politician of the time. During his forty-year career, he faithfully served four monarchs of the Joseon era.

The reverse side of the banknote depicts a private Confucian academy founded by Lee Hwan.

5,000 won - Politician Li Yi (1536-1584)

Li Yi is a respected politician and one of two well-known Confucian scholars, a student of Li Hwan (the man depicted on the 1000 banknote). He was incredibly smart: he could read at the age of 3, and by the age of 7 he had finished learning the basics of neo-Confucianism. At the age of 13, he passed the exam for entering the civil service, and at 16, after the death of his mother, Sin Saimdang (depicted on 50,000 won), decided to devote his life to the study of Buddhism.

10,000 won - King Sejong the Great (1397-1450)

King Sejong is called great for a reason. This historical figure is known to every inhabitant of the country, and it is not for nothing that his portrait adorns Korean money. It is this king who is considered the creator of Hangul - the Korean alphabet. During his reign, he contributed to the significant advancement of the country not only in literature, but also in science, military and technical fields. His statue, located in front of the Gyeongbokgung Palace, is one of the must-see attractions in Seoul.

On the reverse side of the banknote, you can see 3 inventions of the great ruler (by the way, their bronze copies are also located next to the statue of King Sejong): a globe, a rain gauge and a sundial.

50,000 won - artist Sin Saimdan (1504-1551)

Sin Saimdan is a well-known artist, calligrapher, poet and writer. She is the first woman to appear on a South Korean banknote.

She became famous as a good wife and wise mother, and also did many things that women of that time could only dream of. For example, Sin had no brothers, so she acted as the eldest son for her parents. To a certain extent, she can be classified as a feminist, because Saimdan was able to get an education, which in those days was considered the prerogative of men.

The reverse side of the banknote depicts a Japanese plum, one of the artist's favorite plants.

coins

Today it is extremely rare to find coins in denominations of 1 and 5 won, but until recently they were actively used. Depending on the denomination, the "eagle" looks like:

• 10 won - Tabothap Pagoda, known as the Pagoda of Many Treasures at Bulguksa Temple;
• 50 won - rice flower;
• 100 won - a portrait of Lee Susin - the Korean commander of the fleet;
• 500 won - Turumi - a flying red-headed crane.

Korean money is quite easy to distinguish: banknotes are distinguished by color and size, coins by size. Just like the money of many other countries, they are imbued with a hidden meaning for local residents, and for tourists they can become a good souvenir if they suddenly did not have enough time to buy magnets.

In South Korea, the local won is used as the currency. The Korean currency in the international classification has the designation KRW and consists of ten hwans. It should be noted that at the moment, units with a face value of less than one won do not participate in the money circulation. Among the current bills, we can see banknotes in denominations of 50,000, 10,000, 5,000 and 1,000 won. In addition, coins are used in denominations of 500, 100, 50, 10, 5 and 1 won.

The history of the Korean currency dates back to the 3rd century BC. Then banknotes were products in the form of knives. In addition, coins were used as payment instruments, which were in the form of grains. In this form, Korean banknotes went until the 11th century AD. After that, a transition was made to the production of steel coins. In the next two centuries, silver and copper were also used to make currency, although their number was limited.

In the 4th century, the Chosen dynasty replaced the Koryo family. This happened in 1392. During her reign, a number of attempts were made to reform the monetary structure of Korea. In the 17th century, 24 mints were opened on the territory of the state, the function of which was to make coins from copper and bronze. The official currency in Korea appears in 1633. Moon becomes it. At the end of the 19th century, its place was taken by the yang, which became the first Korean currency related to the decimal monetary system. So, one yang consisted of 100 poons.

In 1902, a denomination was carried out in Korea, as a result of which the won became the official Korean currency. She was equal to five yangs. In 1909, the Bank of Korea was opened, which is responsible for issuing the won. Unfortunately, Korea was unable to defend its independence, and in 1910 the country's territory was annexed to Japan. The won was withdrawn from circulation and replaced by the Korean yen at a ratio of 1 to 1.

Money in Korea after World War II

After the surrender of Japan in World War II, the hwan became the official currency in Korea. The exchange rate of the American dollar was then 15 hwan for one dollar. In 1948, as a result of the conflict on the Korean Peninsula, the country was divided into two different states - South and North Korea. The first was in the zone of influence of the United States, and the second - the USSR and China.

It should be noted that even before the division of Korea, the hwan collapsed several times. So, in 1947, the Korean currency was 50 hwan per US dollar. A year later, it depreciated another 10 times. One dollar was already worth 450 Korean hwan. In 1949, there was another round of devaluation - 900 hwan per US dollar. In 1950 - 1800 for 1 dollar. And in 1951, the US currency was already valued at 6,000 hwan.

Return of won to circulation

In 1962, a reorganization of the monetary system was carried out in South Korea. An updated won was returned to circulation, which changed to hwan at a ratio of 1 to 10. Immediately after the end of the monetary reform, one American dollar cost 125 won. Until 1980, the Bank of Korea set the official value of the Korean currency. At the same time, the won has not escaped a series of devaluations. So, in the spring of 1964, the US dollar exchange rate was 255 won for one 1 dollar. In 1972, one US dollar was already worth 400 won. And in the already mentioned 1980 - 500 local monetary units.

It should be noted that back in 1997, the leadership of South Korea agreed with the IMF to turn the won into a freely convertible currency. From that moment on, the value of South Korean money is determined solely by the ratio of supply and demand. It should also be emphasized that the latest depreciation led to a two-fold reduction in the value of the won. The reason for this was the Asian financial crisis in the late 90s of the last century.

According to the Central Bank of the Russian Federation as of February 24, 2019, the price for 1,000 Republic of Korea Won(KRW) is 0.0583 Russian ruble(RUB). Compared to the previous business day, the change was +0,0000 Russian ruble. To view the archive of the Korean Won exchange rate, click on the "Today" link and select the desired date using the calendar.

This chart will help you quickly get information about the quotes of the Republic of Korea won against the ruble in the Forex market in real time. The user is given the opportunity to customize the terminal in accordance with their preferences, choosing the style of the bars, setting up the indicators. Updated online, KRW/RUB currency quotes reflect real-time Forex trading.

Dynamics of the official exchange rate of the Republic of Korea won against the ruble according to the data of the Central Bank of Russia

The graph shows the dynamics of changes in the value of 1,000 won of the Republic of Korea (KRW) against the ruble (RUB). With the help of quick links, or a horizontal ruler under the chart, you can select any period of time that interests you.

For the period you choose, the minimum price per 1,000 Republic of Korea Won was ($ min|number:4 $) Russian ruble. It was ($ min|date:"d MMMM yyyy" $) year. Maximum price per 1,000 Republic of Korea Won was fixed ($ max|date:"d MMMM yyyy" $) of the year and was equal to ($ max|number:4 $) Russian ruble.

Cross-currency rates from the Central Bank of the Russian Federation

Cross-currency rates are based on the official exchange rate of the Russian ruble against foreign currencies, set by the Central Bank of the Russian Federation as of February 24, 2019.

Information on the Republic of Korea Won

The won is the national currency of South Korea. Bank code - KRW. There are 10 hwans in one won, but there are no real monetary units less than 1 won in circulation. Valid banknotes: 50,000, 10,000, 5,000, 1,000 won. Coins: 500, 100, 50, 10, 5, 1 won. Because 1 and 5 won coins are rare, all calculations are rounded up to 10 won.

The front side of South Korean banknotes is decorated with images of scientists, prominent representatives of culture and art, and political figures. On the back - landscapes and images of historical buildings or plants, symbolic of the country.

The reverses of the coins contain the denomination, the inscription Bank of Korea and the year of issue. On the obverses of the coins are a hibiscus flower (1 won), a sailboat (5 won), a pagoda (10 won), a rice flower (50 won), a crane (500 won). On the 100 won coin is Lee Sunsin, a naval commander who defeated Japan in the 15th century.

History of won

This currency has an ancient history that begins in the 3rd century BC. e. The first banknotes looked like knives and grains, but they were called the same as the modern money of South Korea. Ancient wons existed until the 11th century, and were replaced by minted steel coins. Along with steel, silver and copper coins were minted, but there were much fewer of them.

In 1392, the Goryeo dynasty was replaced by the Chosen dynasty, which attempted to reform the country's currency. In the 17th century 24 mints worked, minting copper and bronze coins. In 1633, the won gave way to a new monetary unit, the mun. In 1892, the mun was changed to the yang, which was the first decimalized Korean currency - there were 100 fans in one yang. After the denomination of 1902, the won, equal to 5 yang, again entered the scene. In 1909, the Bank of Korea was founded, which took over the function of an issuing financial institution. In 1910, Korea lost its independence as a result of the Japanese annexation. The won was replaced by the Korean yen.

After the end of World War II, the hwan became the Korean currency, whose rate was equal to 15 hwans per 1 US dollar. In 1948, Korea was divided into two states - South and North Korea. The country was in a civil war involving the Soviet Union, the United States and China. The Korean hwan experienced several devaluations during this time. So, its exchange rate in 1947 was 50 hwan to the dollar, in 1948 - $450, in 1949 - $900, in 1950 - $1.8 thousand, and in 1951 - already $6 thousand. In 1962 . in South Korea, a monetary reform took place, hwans were exchanged for the South Korean won at a rate of 10 to 1.

Since the 1980s, South Korea has begun moving towards the liberalization of the foreign exchange market. In 1997, in agreement with the IMF, the won became a freely convertible currency, the exchange rate of which is determined by supply and demand. After the Asian-Pacific crisis, the South Korean currency became cheaper by half. In autumn 2014, the exchange rate against the US dollar is 1000 to 0.90. Exchange rate to the Russian ruble: 1000 won to 39.35-43.78 rubles.

The South Korean currency is used as a tool in Forex. The country has been showing stable growth for decades, so investors are willing to work in this market. In addition, South Korea is a country with a developed high-tech industry, and its economy is export-oriented.

The currency legislation of South Korea is very liberal, but when traveling to the country, you need to know that when you import currency in excess of 10,000 US dollars, you need to fill out a declaration and keep it until the end of the trip. If at the time of leaving the country the amount of undeclared currency or checks exceeds the specified amount, the money may be confiscated and a fine imposed on the violator.

How much will

For convenience, a quick “calculator” is presented to help you understand which banknote costs how much. The information is current as of February 24, 2019 according to the Central Bank.