Australian notes and coins are also legal tender in the independent sovereign states of Kiribati, Nauru, and Tuvalu.567 Nauru never had its own currency. Tuvalu and Kiribati additionally had their respective Tuvaluan and Kiribati dollars at par with the Australian dollar. They are legal tender in their respective countries but not in Australia. However, both countries no longer produce coinage since the 1990s and have never produced their own banknotes.
Both the AUD and NZD have weakened in 2025, weighed down by concerns over global growth and China’s slowdown. With China still working through challenges in its property sector—and with the PBoC actively intervening in currency markets—demand for exports from Australia and New Zealand has dipped. The world’s currencies are on the move again — and it all starts with (surprise!) tariffs, inflation, and a few central banks rethinking their plans. Keating’s strategy was meant to make it clear that the central bank supported floating the dollar, with Johnston accompanying him to the press conference instead of Treasury Secretary John Stone. The Australian dollar is the dominant currency in both Tuvalu and Kiribati, and it’s widely accepted in these countries.
Australian Dollar FAQs
The Reserve Bank of Australia’s conservative monetary policy has contributed to higher interest rates in Australia, making it an attractive option for currency trades. One of the key factors contributing to the AUD’s stability is Australia’s conservative monetary policy. The AUD and USD can why invest in fidelity index funds be traded 24×5, starting from the time markets open on Monday mornings in Sydney until they close on Fridays at 5 PM in New York.
Current exchange rates
The currency and precious metals prices displayed on our site are aggregated from millions of data points and pass through proprietary algorithms in order to deliver timely and accurate prices to our users. 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. Australia also prints polymer banknotes for a number of other countries through Note Printing Australia, a wholly owned subsidiary of the Reserve Bank of Australia. Many other countries are showing a strong interest in the new technology. Yesterday, the U.S. announced a sweeping new 10% tariff on imports — plus higher rates aimed at select countries and sectors.
This sometimes invites traders to take a long position in AUD relative to USD. A stronger euro or yen might impact your travel plans or investment returns. And if you’re doing business across borders, volatility in exchange rates could affect everything from pricing to profits. The Australian dollar (AUD) has a unique appeal to investors due to its stable nature and favorable economic conditions.
What key factors drive the Australian Dollar?
- In 1966, coins were introduced in denominations of 1 and 2 cents (bronze); 5, 10, and 20 cents (cupronickel; 75% copper, 25% nickel); and 50 cents (silver, then cupronickel).
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- Higher Iron Ore prices also tend to result in a greater likelihood of a positive Trade Balance for Australia, which is also positive of the AUD.
- Tuvalu and Kiribati also had their respective Tuvaluan and Kiribati dollars, but they’re no longer produced and are at par with the Australian dollar.
- The first Australian currency was introduced by the Europeans in 1788, who brought their own currencies like the Spanish dollar and the British pound.
You’ll now see the value of the converted currency according to the most recent exchange rate. Australia was the first country to produce polymer banknotes,32 more specifically made of polypropylene polymer, which were produced by Note Printing Australia. These polymer notes are cleaner than paper notes, are more durable and easily recyclable. China is Australia’s largest trading partner so the health of the Chinese economy is a major influence on the value of the Australian Dollar (AUD). When the Chinese economy is doing well it purchases more raw materials, goods and services from Australia, lifting demand for the AUD, and pushing up its value.
Let’s start with the big one: the U.S. dollar.
Higher Iron Ore prices also tend to result in a greater likelihood of a positive Trade Balance for Australia, which is also positive of the AUD. The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Australian Dollar from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent AUD (base)/USD (quote).
- For instance, the Reserve Bank of Australia did not intervene with economic stimulus to the same degree as the U.S., European Central Bank, and the Bank of Japan following the Great Recession.
- Discover how to invest in Australian ETFs with our comprehensive guide, covering fees, risks, and top-performing funds for savvy investors.
- The lowest ever value of the dollar after it was floated was 47.75 US cents in April 2001.58 It returned to above 96 US cents in June 2008,59 and reached 98.49 later that year.
We have been featured in some of the most prestigious financial publications in the world including Business Insider, Investopedia, Washington Post, and CoinDesk. Established in 1966, the Australian dollar (AUD) is the official currency of Australia and several countries and territories, including Christmas Island, Cocos Islands, Norfolk Island, Nauru, Tuvalu, and Kiribati. The Australian dollar symbol is $, however, symbols such as A$ or AU$ are also used to distinguish the Australian dollar from other dollar-denominated currencies. The Australian dollar, also known as the ‘buck’, ‘dough’ and ‘aussie’, ranks as the fifth most traded currency in the world. The AUD/USD currency pair tends to be negatively correlated with the USD/CAD (the Canadian dollar), as well as the USD/JPY (the Japanese yen) pair, largely because the dollar is the quote currency in these cases. In particular, the AUD/USD pair often runs counter to the USD/CAD, as both AUD and CAD are commodity block currencies.
The UK replaced these coins with smaller versions from 1990 to 1993, as did New Zealand in 2006. Still, some confusion occurs with the larger-denomination coins in the two countries; Australia’s $1 coin is similar in size to New Zealand’s $2 coin, and the New Zealand $1 coin is similar in size to Australia’s $2 coin. This Australian Dollar and United States Dollar convertor is up to date with exchange rates from April 18, 2025. The Reserve Bank of Australia is responsible for managing the country’s currency and monetary policy. We partner with leading data providers to bring you the latest and most accurate prices for all major currencies and precious metals.
It’s the fifth most traded currency in the world, behind the US dollar, the euro, the Japanese yen, and the pound sterling. The AUD also benefits from Australia’s typically conservative monetary policy. For instance, the Reserve Bank of Australia did not intervene with economic stimulus to the same degree as the U.S., European Central Bank, and the Bank of Japan following the Great Recession.
The Australian dollar is the currency of the Commonwealth of Australia and its independent islands. It’s symbolised by $, but can be written using A$ or AU$ to distinguish it from other dollar-based currencies. The AUD is most commonly exchanged in global markets with the British pound, and it is a fiat currency.
It’s a popular choice for investors looking to diversify their portfolios, especially those with exposure to Asian economies and the commodities cycle. The first colony in Australia was established in 1788, and it was only a matter of time before individual states introduced their own forms of legal tender. These included gold sovereigns, treasury notes, and other coins and banknotes.
Our currency rankings show that the most popular Australian Dollar exchange rate is the AUD to USD rate. In addition, demand for natural resources, especially from other Asian countries, such as China itrader review and India, affects AUD exchange rates. Current Australian 5, 10 and 20 cent coins are identical in size to the former Australian, New Zealand, and British sixpence, shilling, and two shilling (florin) coins. Pre-decimal Australian coins remain legal tender for 10 cents per shilling. Before 2006 the old New Zealand 5, 10 and 20 cent coins were often mistaken for Australian coins of the same value, and vice versa, and therefore circulated in both countries.
This is largely due to Australia’s reliance barclays trade on commodity exports and its relatively small domestic industrial base, which has led to persistent current account deficits. The Australian dollar, or AUD, has some unique characteristics that set it apart from other currencies. It’s a currency that’s closely tied to the price of commodities, particularly those exported to growing economies in Asia. The Australian currency is a fascinating topic, and I’m excited to break it down for you.
As a result, the Australian dollar is the dominant currency in both countries. The Australian dollar’s value can also be influenced by the country’s balance of trade, which has historically been dependent on commodity exports. This means that changes in exchange rates of the Australian dollar can occur in ways opposite to many other currencies.
