Kiwi banknotes are colorful and uniquely Kiwi, featuring national icons, including pioneering scientists, conservationists, explorers, and Māori leaders like Sir Āpirana Ngata. Each note reflects the country’s unique identity with designs that celebrate native wildlife, natural landscapes, and cultural heritage. Here’s a practical look at the New Zealand dollar (NZD), including the currency’s history, how much it’s worth, and local customs that might come in handy while you’re there. The official name of the currency is the New Zealand dollar, but it’s universally abbreviated as NZD in international contexts, such as market analysis. Established in 1934, the RBNZ is responsible for maintaining price stability, issuing banknotes and coins, and ensuring the overall soundness of New Zealand’s financial system.
USD supported ahead of tomorrow’s CPI
- Kiwi banknotes are colorful and uniquely Kiwi, featuring national icons, including pioneering scientists, conservationists, explorers, and Māori leaders like Sir Āpirana Ngata.
- Locally nicknamed the “Kiwi,” the dollar is an important part of New Zealand’s trade, tourism, and everyday life.
- Traders typically buy the NZD and fund it with a lower yielding currency such as the Japanese yen (JPY) or the Swiss franc (CHF).
- The value of the kiwi is strongly influenced by agriculture and tourism, two of New Zealand’s largest industries, which play a major role in shaping demand for the currency on global markets.
Polymer bills are estimated to last four times longer than regular linen or paper banknotes. Also referred to as the Kiwi, the currency is also utilized in several Pacific islands, including Tokelau, the Cook Islands, Pitcairn islands, and Niue. If you cannot find your desired currency pair, it means that transfers to that specified currency are not supported by our services, but we are working on it! Do come back and check again as we are continuously updating our services.
How the Reserve Bank of New Zealand Influences the Kiwi
While far from the most traded currency in the global forex market, the NZD has a key role nonetheless. The cent remains the basis for all pricing, even though the smallest physical coins now in circulation are 10 cents. For cash purchases, retailers round the final price to the nearest 10 cents, but electronic and card transactions still account for cents exactly. In 1967, New Zealand made a major monetary shift by adopting the New Zealand dollar and moving to a decimal currency system. The new system followed the modern standard of a decimal currency system and divided one dollar into 100 cents, greatly simplifying calculations, trade, and pricing.
From the beginning of its circulation, the NZD was pegged with the USD until the March of 1985 when the currency was allowed to float. The New Zealand currency faced various changes until 1999 when it was produced for the first time polymer or plastic versions of the NZD making the currency more secure. If you withdraw money from an ATM in New Zealand, opt to receive it in New Zealand dollars. This is one of the best ways to exchange currency while traveling because it allows the bank to handle the conversion.
New Zealand is one of the world’s largest exporters of whole milk powder so the NZD would most likely benefit if milk prices rise. In any case, what’s happening today follows an unmistakable pattern that’s unfolded for months. The API numbers are leaking and traders are front-running them and then covering partly when the API numbers are released and partly when they’re confirmed in the EIA data. It was a conspicuous trade as oil was falling and inventories were building early this year and now it looks to be unfolding in the opposite direction as inventories tighten.
Yes, you can make payments in NZD using an Equals Money account. Yes, you can receive payments in NZD using an Equals Money account. A floating currency is one with value that is permitted to change as it’s compared to other currencies. Tourism accounted for about 3% of the country’s gross domestic product (GDP) in March 2022, a decrease from 5.5% before the COVID-19 pandemic.
Dollar continues its advance
Beware of bad exchange rates.Banks and traditional providers often have extra costs, which they pass to you by marking up the exchange rate. Our smart tech means we’re more efficient – which means you get a great rate. The New Zealand dollar is the official currency of New Zealand. Its symbol is usually written as $, and sometimes NZ$ is used to distinguish it from other currencies that use the same sign.
The financial markets have since determined the currency’s value with the unit typically ranging between 39 and 88 cents against the greenback. Exchange rates fluctuate regularly due to various economic factors, such as inflation and market conditions. Get the most bang for your buck by tracking live exchange rates with the Western Union® app. That way, you’ll know when it’s a good time to exchange USD for NZD. As of mid-2025, you can exchange 1 US dollar for between approximately 1.60 and 1.70 New Zealand dollars.
The CHF is the strongest and the NZD is the weakest as the NA session begins
- Yes, you can make payments in NZD using an Equals Money account.
- A kiwi is a bird indigenous to New Zealand and is featured on the $1 coin.
- Moreover, New Zealand has a high growth rate with a strong GDP playing a leading role in a strong economy.
- Equals Money allows bulk (batch) payments in 35 global currencies (including NZD).
The most notable change in New Zealand’s currency came in the late 1960s, when New Zealand shifted from pounds, shillings, and pence to dollars and cents and adopted the decimal system. The card is compatible with GBP transactions, allowing you to make purchases in the UK without currency conversion fees, as long as your card balance includes GBP. The New Zealand dollar is divided into 100 cents, which serves as its official currency subunit. Equals Money cards support 21 global currencies (including NZD), allowing you to make local currency purchases in New Zealand. However, your card balance must include the required amount in NZD. The kiwi also circulates in Tokelau, Pitcairn Islands, Niue, and the Cook Islands in addition to being the official currency of New Zealand.
Fixed exchange rate system
Traders typically buy the NZD and fund it with a lower yielding currency such as the Japanese yen (JPY) or the Swiss franc (CHF). If you cannot find the location you would like to send to, it means we currently do not support transfers to that destination, but we are working on it! The best currency to take to New Zealand is New Zealand dollars. It’s unlikely that a hotel, restaurant, or other business will accept US dollars in New Zealand.
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Inflation in Europe was weaker than expectations with Germany and France below expectations although Italy showed a stronger MoM release. It is higher vs AUD and NZD (and CAD) as they react to slower China. There are also several factors that can specifically drive the NZD in the forex market.
The NZD is commonly used in global foreign exchange trading and is often traded against other major currencies such as the US dollar, the Euro, and the Australian dollar. The value of the NZD is influenced by various factors including New Zealand’s economic performance, interest rates, and global market trends. The NZD is New Zealand’s official currency and also circulates in nearby regions, such as Tokelau, the Pitcairn Islands, Niue, and the Cook Islands. Introduced in 1967, it adopted a floating exchange rate in 1985 and allowed market forces to determine its value. The Reserve Bank of New Zealand oversees monetary policy, managing interest rates and exchange stability to support the economy.
It is represented by the symbol “$” and the code “NZD.” The currency is issued and regulated by the Reserve Bank of New Zealand. When comparing exchange services, prioritize companies with security features like data encryption, transfer tracking, PCI DSS compliance, and Touch ID security. And you trading indices strategies can use the service online or at an agent location in New Zealand. During colonial times, people used a mix of British pounds and various foreign coins.
The neighboring country reports 6.2% of New Zealand imports in 2023. The performance of Australia’s economy has a significant impact on the New Zealand dollar as a result. The country’s top industries include agriculture, dairy, forestry, fishing, mining, and tourism.
Trade Ties Between New Zealand and Australia Affecting the Kiwi
The value of the kiwi is strongly influenced by agriculture and tourism, two of New Zealand’s largest industries, which play a major role in shaping demand for the currency on global markets. The New Zealand Dollar (NZD) is the official currency of New Zealand. This is a result of New Zealand’s strong economy which is strictly connected with the tourism business. Moreover, New Zealand has a high growth rate with a strong GDP playing a leading role in a strong economy.
The CHF is the strongest and the NZD is the weakest as the North American session begins. The NZD is the strongest and the USD is the weakest as the North American session begins. The NZD benefitted from a surprise trade surplus of 427M vs -1310M deficit expected. Next week, the expectations are for a 25 basis point hike to 5.5%. Investors with risk appetite often buy the currency, while market fears and crises place negative pressure on the NZD.