View source for Australian dollar

{{Short description|Currency of Australia}}
{{Redirect|AUD}}
{{Use Australian English|date=May 2014}}
{{Use dmy dates|date=December 2020}}
{{Infobox currency
| currency_name_in_local = <!-- not needed if it is the same as the title and only the English variant provided -->
| name_abbr = A$, AU$
| image_1 = File:2018 Australian fifty dollar note obverse.jpg
| image_width_1 = 175px
| image_title_1 = $50 banknote (2020, obverse)
| image_2 = File:Australian_$1_Coin.png
| image_width_2 = 100px
| image_title_2 = $1&nbsp;coin (reverse)
| iso_code = AUD
| using_countries = {{Flag|Australia}}
{{Collapsible list
| title = 7 [[States and territories of Australia|external territories]]
| {{flag|Ashmore and Cartier Islands}}<br />{{flag|Australian Antarctic Territory}}<br />{{flag|Christmas Island}}<br />{{flag|Cocos (Keeling) Islands}}<br />{{flag|Coral Sea Islands}}<br />{{flag|Heard Island and McDonald Islands}}<br />{{flag|Norfolk Island}}}}
{{Collapsible list
| title = 3 other countries
|{{flag|Kiribati}} (alongside [[Kiribati dollar]])<br />{{flag|Nauru}}<br />{{flag|Tuvalu}} (alongside [[Tuvaluan dollar]])}}
| unofficial_users = 
| inflation_rate = 4.2% ([[Australia]] only)
| inflation_source_date = [https://www.rba.gov.au/inflation-overview.html Reserve Bank of Australia], April 2026
| pegged_by = [[Tuvaluan dollar]] and [[Kiribati dollar]] at par
| unit = Dollar
| subunit_ratio_1 = {{frac|1|100}}
| subunit_name_1 = [[Cent (currency)|cent]]
| symbol = [[Dollar sign|$]]
| symbol_subunit_1 = ¢
| frequently_used_coins = [[Australian five-cent coin|5c]], [[Australian ten-cent coin|10c]], [[Australian twenty-cent coin|20c]], [[Australian fifty-cent coin|50c]], [[Australian one-dollar coin|$1]], [[Australian two-dollar coin|$2]]
| rarely_used_coins = [[Australian one-cent coin|1c]], [[Australian two-cent coin|2c]] (no longer in production)
| coin_article = Coins of the Australian dollar
| frequently_used_banknotes = [[Australian five-dollar note|$5]], [[Australian ten-dollar note|$10]], [[Australian twenty-dollar note|$20]], [[Australian fifty-dollar note|$50]], [[Australian one-hundred-dollar note|$100]]
| rarely_used_banknotes = [[Australian one-dollar note|$1]], [[Australian two-dollar note|$2]] (no longer in production)
| banknote_article = Banknotes of the Australian dollar
| date_of_introduction = {{start date and age|1966|02|14|df=y}}<ref name="currency_act"/>
| replaced_currency = [[Australian pound]]
| issuing_authority = [[Reserve Bank of Australia]]
| issuing_authority_website = {{URL|https://www.rba.gov.au/|rba.gov.au}}
| printer = [[Note Printing Australia]]
| printer_website = {{URL|https://www.noteprinting.com/|noteprinting.com}}
| mint = [[Royal Australian Mint]]
| mint_website = {{URL|https://www.ramint.gov.au/|ramint.gov.au}}
}}

The '''Australian dollar'''  ([[currency sign|sign]]: '''$'''; [[ISO 4217|code]]: '''AUD'''; also abbreviated '''A$''' or sometimes '''AU$''' to distinguish it from other [[dollar|dollar-denominated currencies]];<ref>{{cite book|title=The Web content style guide: an essential reference for online writers ...|first1=Gerry|last1=McGovern|first2=Rob|last2=Norton|first3=Catherine|last3=O'Dowd|page=104|isbn=978-0-273-65605-0|publisher=[[FT Press]]|year=2002|url=https://books.google.com/books?id=wH3nimSNWSsC&pg=PA104|access-date=30 July 2010|archive-date=14 January 2023|archive-url=https://web.archive.org/web/20230114143544/https://books.google.com/books?id=wH3nimSNWSsC&pg=PA104|url-status=live}}</ref><ref>{{cite book |url = https://archive.org/details/canadianstylegui0000unse |title = The Canadian Style |publisher = Dundurn Press/[[Public Works and Government Services Canada|Translation Bureau]] |year=1997 |isbn=1-55002-276-8 |access-date=30 July 2010 }}</ref> and also referred to as<!-- Do not add 'dollarydoo' here without consensus. See the talk page discussion from 2023 --> the '''dollar''' or '''Aussie dollar''') is the official [[currency]] and [[Legal tender#Australia|legal tender]] of [[Australia]], including [[States and territories of Australia|all of its external territories]], and three independent sovereign [[Pacific Islands|Pacific Island states]]: [[Kiribati]], [[Nauru]], and [[Tuvalu]].<ref name=RBA>[https://www.legislation.gov.au/Details/C2015C00201 ''Reserve Bank Act 1959'', s.36(1)] {{Webarchive|url=https://web.archive.org/web/20190616172012/https://www.legislation.gov.au/Details/C2015C00201 |date=16 June 2019 }}, and [https://www.legislation.gov.au/Details/C2016C01090 ''Currency Act 1965'', s.16] {{Webarchive|url=https://web.archive.org/web/20190509005541/https://www.legislation.gov.au/Details/C2016C01090 |date=9 May 2019 }}</ref><ref name=nauru>{{cite web|url=http://naurugov.nr/about-nauru/visiting-nauru/currency.aspx|title=Currency|website=The Government of the Republic of Nauru|access-date=12 February 2023}}</ref><ref name=tuvalu>{{cite web|url=https://www.dfat.gov.au/geo/tuvalu/tuvalu-country-brief|title=Tuvalu country brief|website=Australian Government – Department of Foreign Affairs and Trade|access-date=12 February 2023}}</ref><ref name=kiribati>{{cite web|url=https://www.dfat.gov.au/geo/kiribati/kiribati-country-brief|title=Kiribati country brief|website=Australian Government – Department of Foreign Affairs and Trade|access-date=12 February 2023}}</ref> {{As of|2022|April|pre=In|bare=Yes}}, it was the [[Template:Most traded currencies|sixth most-traded currency]] in the [[foreign exchange market]]<ref>{{cite report |date=27 October 2022 |title=Triennial Central Bank Survey Foreign exchange turnover in April 2022 |url=https://www.bis.org/statistics/rpfx22_fx.pdf |url-status=live |archive-url=https://web.archive.org/web/20221027140118/https://www.bis.org/statistics/rpfx22_fx.pdf |archive-date=2022-10-27  |publisher=[[Bank for International Settlements]] |page=12}}</ref> and {{As of|2024|url=https://data.imf.org/?sk=e6a5f467-c14b-4aa8-9f6d-5a09ec4e62a4|pre=Q1|lc=y}} the sixth <!-- Citation lists first by the five IMF basket currencies and then by alphabetical, as the source explicitly points out, with the AUD amount clearly sixth--> most-held [[reserve currency]] in [[Foreign exchange reserves|global reserves]].<ref name="IMFCOFER">{{cite web |date=2024-03-09 |title=Currency Composition of Official Foreign Exchange Reserves |url=http://data.imf.org/COFER |access-date= |website=IMF Data |publisher=[[International Monetary Fund]]}}</ref>

The Australian dollar was introduced as a [[decimal currency]] on 14 February 1966 to replace the non-decimal [[Australian pound]], with the conversion rate of two dollars to the pound (£A1 = A$2). It is subdivided into 100 [[cent (currency)|cents]]. The $ symbol precedes the amount. On the introduction of the currency, the $ symbol was intended to have two strokes, but the version with one stroke has also always been acceptable.<ref>{{Cite book |title=Style Manual: For Authors and Printers of Australian Government Publications |publisher=Commonwealth Government Printing Office |year=1966 |edition=1st |location=Canberra |page=35 |language=en |oclc=10365249}}</ref><ref>{{cite book |last=Australian Decimal Currency Board |title=The decimal currency handbook : a comprehensive guide to Australia's new decimal currency and the changeover period - planned to begin in 1966 |date=1965 |page=19 |id=[[National Library of Australia|NLA]]: [https://catalogue.nla.gov.au/catalog/585292 585292]}}</ref>

{{As of|2023|pre=In|bare=yes}}, there were A$4.4&nbsp;billion in coins<ref>{{Cite report |url=https://www.ramint.gov.au/sites/default/files/2023/2022-23_ram_annual-report_11-10-23.pdf |title=2022–23 Annual Report |last=Royal Australian Mint |date=22 September 2023 |publisher=Commonwealth of Australia |page=95 |issn=2206-0375 |author-link=Royal Australian Mint}}</ref> and A$101.3&nbsp;billion in notes<ref>{{Cite report |url=https://www.rba.gov.au/publications/annual-reports/rba/2023/banknotes.html#r5 |title=Reserve Bank of Australia Annual Report 2023 |date=14 September 2023 |page=103 |issn=1448-5303}}</ref> of Australian [[currency in circulation]], or around A$6,700 per person in Australia,<ref>{{Cite web |last=Wright |first=Shane |date=2023-07-23 |title=Big change: Development shows Australia may have reached peak cash |url=https://www.smh.com.au/politics/federal/big-change-development-shows-australia-may-have-reached-peak-cash-20230721-p5dqb4.html |access-date=2023-12-20 |website=[[The Sydney Morning Herald]] |publisher=[[Nine Entertainment]] |language=en-AU}}</ref> which includes cash reserves held by the banking system and cash in circulation in other countries or held as a [[foreign exchange reserve]].

== Constitutional basis ==
[[Section 51(xii) of the Constitution of Australia]] gives the [[Parliament of Australia|Commonwealth (federal) Parliament]] the power to legislate with respect to "currency, coinage, and legal tender".<ref>{{Cite Legislation AU|Cth|act|coaca430|Australian Constitution|51}}(xii)</ref> The states are not allowed to coin money, in accordance with section 115 which provides that "[a] State shall not coin money, nor make anything but gold and silver coin a legal tender in payment of debts".<ref>{{Cite Legislation AU|Cth|act|coaca430|Australian Constitution|115}}</ref> Australian coins are now produced at the [[Royal Australian Mint]] in [[Canberra]].

== History ==
{{Redirect|Australian Royal|Australian royalty|Monarchy of Australia}}
{{Main|History of Australian currency}}

=== Background ===
Before [[Australian federation|Federation]] in 1901, the six colonies that comprised Australia had separate currencies, all of which closely replicated the [[pound sterling|British currency system]], and were usually exchangeable with each other on a one-to-one basis. Hence Federation was not seen as urgently requiring a single, unified currency. For another 10 years, colonial banknotes and coins continued to be the main circulating currencies.

In 1902, a select committee of the [[Australian House of Representatives|House of Representatives]], chaired by [[George Edwards (Australian politician)|George Edwards]], had recommended that Australia adopt a single, national decimal currency, with a pound divided into ten [[Florin (British coin)|florin]]s and each florin comprising 100 cents.<ref>{{cite news |url = https://www.aph.gov.au/Parliamentary_Business/Committees/House_of_Representatives_Committees?url=reports%2F1902%2F1902_ppd4.pdf |title = Report from the Select Committee on Coinage |publisher = Commonwealth of Australia |date = 3 April 1902 |access-date = 31 October 2019 |archive-date = 19 December 2019 |archive-url = https://web.archive.org/web/20191219173736/https://www.aph.gov.au/Parliamentary_Business/Committees/House_of_Representatives_Committees?url=reports%2F1902%2F1902_ppd4.pdf |url-status = live }}</ref> However, the recommendation was not acted upon.

The [[Australian pound]] (£A) was introduced in 1910, at par with the [[pound sterling]]{{snd}} £A1 = £1 (UK). Like the UK pound, it was divided into 240 pence, or 20 shillings (each comprising 12 pence). In December 1931, the Australian currency was devalued by 25%, so that one pound five shillings Australian was equivalent to one pound sterling.<ref>{{Cite web |url=https://treasury.gov.au/sites/default/files/2019-03/03_Colin_Clark_speech.pdf |title=What have we learnt? The Great Depression in Australia from the perspective of today  |website=Treasury |publisher=[[Government of Australia]] |access-date=17 March 2023 |page=37 |first1= David |last1=Gruen |first2=Colin |last2=Clark}}</ref>

In 1937, a banking [[Royal commissions in Australia|royal commission]], appointed by the [[Lyons government]], recommended that Australia adopt "a system of decimal coinage ... based upon the division of the Australian pound into [[Mill (currency)|1000 parts]]".<ref name="new">{{cite news |url = https://museum.rba.gov.au/exhibitions/the-decimal-revolution/a-new-currency/ |title = A New Currency |publisher = Reserve Bank of Australia Museum |access-date = 17 October 2019 |archive-date = 29 November 2019 |archive-url = https://web.archive.org/web/20191129032752/https://museum.rba.gov.au/exhibitions/the-decimal-revolution/a-new-currency/ |url-status = live }}</ref><ref>{{Cite report |url=https://parlinfo.aph.gov.au/parlInfo/download/publications/tabledpapers/HPP052016003213/upload_pdf/HPP052016003213_1937_74.pdf;fileType=application%2Fpdf#search=%22publications/tabledpapers/HPP052016003213%22 |title=Royal Commission appointed to inquire into the monetary and banking systems at present in operation in Australia |date=24 August 1937}}</ref> This recommendation was not accepted either.

=== Adoption of the dollar ===
[[File:Dollar Bill - The Decimal Currency Jingle.webm|thumb|1966 government advertisement jingle on the change to decimal currency to the tune of [[Click Go the Shears]]]]
In February 1959, treasurer [[Harold Holt]] appointed a Decimal Currency Committee, chaired by [[Walter D. Scott]], to examine the merits of decimalisation. The committee reported in August 1960 in favour of decimalisation and proposed that a new currency be introduced (from February 1963), to be modelled on South Africa's replacement of the [[South African pound]] with the [[South African rand|rand]] (worth 10 shillings, or {{frac|2}} pound). The [[Menzies Government (1949–66)|Menzies government]] announced its support for decimalisation in July 1961, but delayed the process in order to give further consideration to the implementation process.<ref>{{cite news |url=https://www.abs.gov.au/ausstats/abs@.nsf/featurearticlesbytitle/9A953DE15F376525CA256F2A00073477?OpenDocument |title=Report of the 1959 Decimal Currency Committee |publisher=Australian Bureau of Statistics |year=1959 |access-date=17 October 2019 |archive-date=22 December 2019 |archive-url=https://web.archive.org/web/20191222144523/https://www.abs.gov.au/ausstats/abs@.nsf/featurearticlesbytitle/9A953DE15F376525CA256F2A00073477?OpenDocument |url-status=live }}</ref> In April 1963, Holt announced that a decimal currency was scheduled to be introduced in February 1966, with a base unit equal to 10 shillings, and that a Decimal Currency Board would be established to oversee the transition process.<ref name="new" />

A public consultation process was held in which over 1,000 names were suggested for the new currency. This was reduced to a shortlist of seven names: austral, crown, dollar, pound, regal, tasman and royal.<ref>{{Cite book |last1=Curran |first1=James |title=The unknown nation: Australia after empire |last2=Ward |first2=Stuart |date=2010 |publisher=Melbourne University Publishing |isbn=978-0-522-85645-3 |location=Carlton, Vic |page=94}}</ref> In June 1963, Holt announced that the new currency would be called the "royal". This met with widespread public disapproval, and three months later it was announced that it would instead be named the "dollar".<ref>{{cite news |url = https://www.moadoph.gov.au/blog/the-introduction-of-decimal-currency-how-we-avoided-nostrils-and-learned-to-love-the-bill/ |title = The Introduction of Decimal Currency: How We Avoided Nostrils and Learned to Love the Bill |publisher = Museum of Australian Democracy |access-date = 17 October 2019 |archive-date = 20 December 2019 |archive-url = https://web.archive.org/web/20191220113518/https://www.moadoph.gov.au/blog/the-introduction-of-decimal-currency-how-we-avoided-nostrils-and-learned-to-love-the-bill/ |url-status = live }}</ref>

The pound was replaced by the dollar on 14 February 1966<ref>{{cite web |title=Introducing the New Decimal Banknotes |url=http://museum.rba.gov.au/displays/rba-currency-reform/#introducing-the-new-decimal-banknotes |website=Reserve Bank of Australia Museum |publisher=[[Reserve Bank of Australia]] |access-date=31 December 2015 |archive-url=https://web.archive.org/web/20160427094349/http://museum.rba.gov.au/displays/rba-currency-reform/#introducing-the-new-decimal-banknotes |archive-date=27 April 2016 |url-status=dead }}</ref> with the conversion rate of A$2 = £A1. For example, a pre-decimal amount of nine pounds, sixteen shillings and sixpence (£A9 16s 6d) became $19.65 in terms of dollars and cents. Since Australia was still part of the fixed-exchange [[sterling area]], the exchange rate was fixed to the [[pound sterling]] at a rate of A$1 = 8s sterling (or £1 (UK) = A$2.50, and in turn £1 (UK) = {{USD|link=yes}} 2.80). In 1967, Australia effectively left the sterling area when the pound sterling was devalued against the US dollar from US$2.80 to US$2.40, but the Australian dollar chose to retain its peg to the US dollar at A$1 = US$1.12 (hence appreciating in value versus sterling).

The Australian dollar is legal tender in its external territories: [[Christmas Island]], [[Cocos (Keeling) Islands]], and [[Norfolk Island]]; and is also official currency in [[Kiribati]], [[Nauru]], and [[Tuvalu]]. It was legal tender in [[Papua New Guinea]] until 31 December 1975 when it was replaced by the [[Papua New Guinean kina]], and in [[Solomon Islands]] until 1977 when it was replaced by the [[Solomon Islands dollar]].

== Coins ==
{{Main|Coins of 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). The 50-cent coins in 80% silver were no longer minted after March 1968 due to the intrinsic value of the silver content rising to exceed the face value of the coins.<ref>{{Cite web |title=Fifty Cents |url=https://www.ramint.gov.au/fifty-cents |access-date=2024-05-14 |website=[[Royal Australian Mint]] |date=8 January 2016 |publisher=[[Australian Government]] |language=en-AU}}</ref> [[Aluminium bronze]] (92% copper, 6% aluminium, 2% nickel) 1 dollar coins were introduced in 1984, followed by aluminium bronze 2 dollar coins in 1988, to replace the banknotes of that value. In everyday Australian parlance, these coins collectively are referred to as "gold coins". 1 and 2 cent coins were discontinued in 1991 and withdrawn from circulation in 1992; since then cash transactions have been [[Swedish rounding|rounded to the nearest 5 cents]].

{|class="wikitable" style="font-size: 90%"
|-
|+ Australian coins
|-
!colspan="2" | Image !!rowspan="2" | Value !!colspan="4" | Technical parameters !!colspan="3" | Description !!rowspan="2" | Date of first minting
|-
! Obverse
! Reverse
! Diameter
! Thickness
! Weight
! Composition
! Edge
! Obverse
! Reverse
|- {{Coin-copper-color}}
| 
|align="center" |[[File:Australian 1c Coin.png|44px]]
| [[Australian one-cent coin|1c]] <br/>
| 17.65&nbsp;mm
| >1.4&nbsp;mm
| 2.60 g
| rowspan="2" | 97% [[copper]]<br/>2.5% [[zinc]]<br/>0.5% [[tin]]
| rowspan="2" | Plain
| rowspan="2" | [[Queen Elizabeth II]]
| [[Feathertail glider]]
| rowspan="2" | 1966–1991 (no longer issued)
|- {{Coin-copper-color}}
|
|align="center"|[[File:Australian 2c Coin.png|54px]]
| [[Australian two-cent coin|2c]] <br/>
| 21.59&nbsp;mm
| <1.9&nbsp;mm
| 5.20 g
| [[Frill-necked lizard]]
|- {{Coin-silver-color}}
|
|align="center"|[[File:Australian Five Cents Rev.png|49px]]
| [[Australian five-cent coin|5c]]
| 19.41&nbsp;mm
| 1.3&nbsp;mm
| 2.83 g
| rowspan="4" | [[Cupronickel]]<br/>75% [[copper]]<br/>25% [[nickel]]
| rowspan="3" | [[Reeding|Reeded]]
| rowspan="4" | [[Elizabeth II|Queen <br/>Elizabeth II]],<br/>[[King Charles III]] (since 2024)
| [[Echidna]]
| rowspan="3" | 1966
|- {{Coin-silver-color}}
|
|align="center"|[[File:Australian 10c Coin.png|59px]]
| [[Australian ten-cent coin|10c]]
| 23.60&nbsp;mm
| 1.5&nbsp;mm
| 5.65 g
| [[Superb lyrebird]]
|- {{Coin-silver-color}}
|
|align="center"|[[File:Australian 20c Coin.png|72px]]
| [[Australian twenty-cent coin|20c]]
| 28.65&nbsp;mm
| 2.0&nbsp;mm
| 11.3 g
| [[Platypus]]
|- {{Coin-silver-color}}
|
|align="center"|[[File:Australian 50c Coin.png|79px]]
| [[Australian fifty-cent coin|50c]]
| [[Dodecagon]] 31.65&nbsp;mm (across flats)
| 2.0&nbsp;mm
| 15.55 g
| Plain
| [[Coat of Arms of Australia|Coat of arms]]
| 1969
|- {{Coin-yellow-color}}
|
|align="center"|[[File:Australian $1 Coin.png|63px]]
| [[Australian one dollar coin|$1]]
| 25.00&nbsp;mm
| 2.8&nbsp;mm
| 9.00 g
| rowspan="2" | 92% [[copper]]<br/>6% [[aluminium]]<br/>2% [[nickel]]
| rowspan="2" | Interrupted <br/>milled
| [[Elizabeth II|Queen <br/>Elizabeth II]],<br/>[[King Charles III]] (since 2023)<ref>{{Cite web |last=fappuhamy |date=2023-10-05 |title=King Charles III to soon appear on Australian Coins |url=https://www.ramint.gov.au/publications/king-charles-iii-soon-appear-on-australian-coins |access-date=2024-03-26 |website=www.ramint.gov.au |language=en}}</ref>
| Five [[kangaroo]]s
| 1984
|- {{Coin-yellow-color}}
|
|align="center"|[[File:Australian $2 Coin.png|51px]]
| [[Australian two dollar coin|$2]]
| 20.50&nbsp;mm
| 3.0&nbsp;mm
| 6.60 g
| [[Elizabeth II|Queen <br/>Elizabeth II]],<br/>[[King Charles III]] (since 2024)
| [[Australian Aboriginal elder|Aboriginal elder]] and [[Southern Cross]]
| 1988
|-
|colspan="11"|{{Standard coin table notice|standard_scale=Y|BrE=Y}} <small>Source: Royal Australian Mint.<ref>{{Cite web |title=Coin Types |website=www.ramint.gov.au |date=8 January 2016 |publisher=Royal Australian Mint |url= https://www.ramint.gov.au/coin-types |archive-url= https://web.archive.org/web/20220911110820/https://www.ramint.gov.au/coin-types |access-date=25 September 2022 |archive-date=11 September 2022 |url-status=dead}}</ref></small>
|-
|}

Australia's coins are produced by the [[Royal Australian Mint]], which is located in the nation's capital, [[Canberra]]. Since opening in 1965, the Mint has produced more than 14 billion circulating coins, and has the capacity to produce more than two million coins per day, or more than 600 million coins per year.

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. 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.

With a mass of {{Convert|15.55|g|oz}} and a diameter of {{Convert|31.51|mm|in|frac=32}}, the Australian 50-cent coin is one of the largest coins that is being circulated in the world today.

=== Commemorative coins ===
{{See also|Australian commemorative coins}}

The [[Royal Australian Mint]] also has an international reputation for producing quality numismatic coins. It has first issued commemorative 50-cent coins in 1970, commemorating [[James Cook]]'s exploration along the east coast of the Australian continent, followed in 1977 by a coin for Queen Elizabeth II's [[Silver Jubilee of Elizabeth II|Silver Jubilee]] (25th year of rule), the wedding of [[Charles, Prince of Wales]] and [[Diana, Princess of Wales|Lady Diana Spencer]] in 1981, the [[Brisbane]] [[Commonwealth Games]] in 1982, and the [[Australian Bicentenary]] in 1988. Issues expanded into greater numbers in the 1990s and the 21st century, responding to collector demand. Commemorative designs have also been featured on the circulating two dollar, one dollar, and 20 cent coins.

In commemoration of the 40th anniversary of Australia using the [[decimal currency]], the 2006 mint [[Proof coinage|proof]] and [[Coin grading|uncirculated]] sets included one- and two-cent coins. In early 2013, Australia's first triangular coin was introduced to mark the 25th anniversary of the opening of Parliament House. The silver $5 coin is 99.9% silver, and depicts Parliament House as viewed from one of its courtyards.<ref>{{Cite news |url=https://www.abc.net.au/news/2013-05-09/first-triangular-coin-celebrates-parliament-birthday/4679654 |title=Triangular coin celebrates Parliament House's birthday |work=[[ABC News (Australia)|ABC News]] |date=8 May 2013 |access-date=25 September 2022 |archive-url=https://web.archive.org/web/20130511002654/https://www.abc.net.au/news/2013-05-09/first-triangular-coin-celebrates-parliament-birthday/4679654 |archive-date=11 May 2013 |url-status=live}}</ref>

== Banknotes ==
{{Main|Banknotes of the Australian dollar}}

=== First series ===
The first paper issues of the Australian dollar were issued in 1966. The $1, $2, $10 and $20 notes had exact equivalents in the former pound notes. The $5 note was issued in 1967, the $50 was issued in 1973 and the $100 was issued in 1984.<ref>''History of Banknotes'' http://banknotes.rba.gov.au/australias-banknotes/history/ {{Webarchive|url=https://web.archive.org/web/20151025162900/http://banknotes.rba.gov.au/australias-banknotes/history/ |date=25 October 2015 }}</ref>

The $1 banknote was later replaced by [[Australian one dollar coin|a $1 coin]] in 1984, while the [[$2 note (Australian)|$2 banknote]] was replaced by [[Australian two dollar coin|a smaller $2 coin]] in 1988.<ref name="rbafgfysjf-mus-inflate-note">{{Cite web |url=http://museum.rba.gov.au/displays/rba-currency-reform/#inflation-and-the-note-issue |title=The Reserve Bank and Reform of the Currency: 1960–1988, Inflation and the Note Issue |publisher=Reserve Bank of Australia |work=Reserve Bank of Australia Music um |access-date=31 December 2015 |archive-url=https://web.archive.org/web/20160427094349/http://museum.rba.gov.au/displays/rba-currency-reform/#inflation-and-the-note-issue |archive-date=27 April 2016 |url-status=dead}}</ref> Although no longer printed, all previous notes of the Australian dollar remain legal tender.<ref name="rba-legal">{{cite web|url=http://banknotes.rba.gov.au/legal/deliberate-damage/|title=DELIBERATE DAMAGE|publisher=[[Reserve Bank of Australia]]|quote=All Australian banknotes, present and all past issues, are lawfully current in Australia.|work=Legal|access-date=9 February 2015|archive-date=4 March 2015|archive-url=https://web.archive.org/web/20150304102856/http://banknotes.rba.gov.au/legal/deliberate-damage/|url-status=live}}</ref>

Shortly after the changeover, substantial counterfeiting of $10 notes was detected.<ref>{{Cite news |date=1969-07-05 |title=Forged notes given to friend |url=http://nla.gov.au/nla.news-article136942401 |access-date=2025-08-19 |work=Canberra Times |pages=8}}</ref><ref>{{Cite news |date=8 June 2012 |title=The Money Changers |url=https://www.theaustralian.com.au/news/the-money-changers/image-gallery/e5226addec4f05ec7b1f97f4db25e907 |work=[[The Australian]]}}</ref> This provided an impetus for the Reserve Bank of Australia to develop new note technologies jointly with the [[Commonwealth Scientific and Industrial Research Organisation]], culminating in the introduction of the first [[polymer banknote]] in 1988.<ref>{{Cite web |last1=Solomon |first1=David |last2=Spurling |first2=Tom |date=2014-11-25 |title=Proceeds of crime: how polymer banknotes were invented |url=http://theconversation.com/proceeds-of-crime-how-polymer-banknotes-were-invented-34642 |access-date=2025-08-19 |website=The Conversation |language=en-US}}</ref><ref>{{Cite web |last=Administrator |date=2016-02-11 |title=For the love of money • Inside Story |url=https://insidestory.org.au/for-the-love-of-money/ |access-date=2025-08-19 |website=Inside Story |language=en}}</ref><ref>{{Cite web |last=CSIRO |title=The world's first polymer banknote |url=https://www.csiro.au/Organisation-Structure/Flagships/Future-Manufacturing-Flagship/Flexible-Electronics/World-first-polymer-banknote.aspx |archive-url=https://web.archive.org/web/20130124141702/https://www.csiro.au/Organisation-Structure/Flagships/Future-Manufacturing-Flagship/Flexible-Electronics/World-first-polymer-banknote.aspx |archive-date=2013-01-24 |access-date=2025-08-19 |website=www.csiro.au |language=en}}</ref>

=== First polymer series ===
Australia was the first country to produce [[polymer banknote]]s,<ref>{{Cite news |url=https://www.bbc.co.uk/news/magazine-20071644 |work=[[BBC News]] |title=Wi-fi, dual-flush loos and eight more Australian inventions |date=8 November 2012 |access-date=25 September 2022 |archive-url=https://web.archive.org/web/20121108070446/https://www.bbc.co.uk/news/magazine-20071644 |archive-date=8 November 2012 |url-status=live}}</ref> 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.

The first polymer banknote was issued in 1988 as a $10 note<ref>{{Cite web|url=https://www.banknotes.rba.gov.au/australias-banknotes/other-banknotes/index.html|title=Other Banknotes|website=Reserve Bank of Australia Banknotes|access-date=10 October 2021|archive-date=31 March 2022|archive-url=https://web.archive.org/web/20220331123357/https://www.banknotes.rba.gov.au/australias-banknotes/other-banknotes/index.html|url-status=live}}</ref> commemorating the bicentenary of European settlement in Australia. The note depicted on one side a young male Aboriginal person in body paint, with other elements of Aboriginal culture. On the reverse side was the ship ''Supply'' from the First Fleet, with a background of Sydney Cove, as well as a group of people to illustrate the diverse backgrounds from which Australia has evolved over 200 years.

The first polymer series was rolled out starting 1992 and featured the following persons:

* The $100 note features world-renowned soprano [[Nellie Melba|Dame Nellie Melba]] (1861–1931), and the distinguished soldier, engineer and administrator [[John Monash|General Sir John Monash]] (1865–1931).<ref>{{Cite web |url=https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/hundred-dollar/index.html |title=$100 Banknote |publisher=Reserve Bank of Australia Banknotes |access-date=10 October 2021 |archive-date=10 October 2021 |archive-url=https://web.archive.org/web/20211010090612/https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/hundred-dollar/index.html |url-status=live}}</ref>
* The $50 note features Aboriginal writer and inventor [[David Unaipon]] (1872–1967), and Australia's first female parliamentarian, [[Edith Cowan]] (1861–1932).<ref>{{Cite web |url=https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/fifty-dollar/index.html |title=$50 Banknote |publisher=Reserve Bank of Australia Banknotes |access-date=10 October 2021 |archive-date=10 October 2021 |archive-url=https://web.archive.org/web/20211010090607/https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/fifty-dollar/index.html |url-status=live}}</ref>
* The $20 note features the founder of the world's first aerial medical service (the [[Royal Flying Doctor Service]]), the [[John Flynn (minister)|Reverend John Flynn]] (1880–1951), and [[Mary Reibey]] (1777–1855), who arrived in Australia as a convict in 1792 and went on to become a successful shipping magnate and philanthropist.<ref>{{Cite web |url=https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/twenty-dollar/index.html |title=$20 Banknote |publisher=Reserve Bank of Australia Banknotes |access-date=10 October 2021 |archive-date=10 October 2021 |archive-url=https://web.archive.org/web/20211010090610/https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/twenty-dollar/index.html |url-status=live}}</ref>
* The $10 note features the poets [[Banjo Paterson]] (1864–1941) and [[Mary Gilmore|Dame Mary Gilmore]] (1865–1962). This note incorporates micro-printed excerpts of Paterson's and Gilmore's work.<ref>{{Cite web |url=https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/ten-dollar/index.html |title=$10 Banknote |publisher=Reserve Bank of Australia Banknotes |access-date=10 October 2021 |archive-date=10 October 2021 |archive-url=https://web.archive.org/web/20211010090611/https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/ten-dollar/index.html |url-status=live}}</ref>
* The $5 note features [[Elizabeth II|Queen Elizabeth II]] and [[Parliament House, Canberra]], the national capital.<ref>{{Cite web |url=https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/five-dollar/index.html |title=$5 Banknote |publisher=Reserve Bank of Australia Banknotes |access-date=10 October 2021 |archive-date=10 October 2021 |archive-url=https://web.archive.org/web/20211010090607/https://www.banknotes.rba.gov.au/australias-banknotes/banknotes-in-circulation/five-dollar/index.html |url-status=live}}</ref>

A special centenary issue of the $5 note in 2001 featured [[Henry Parkes|Sir Henry Parkes]] and [[Catherine Helen Spence]]. In 2015–2016 there were petitions to feature [[Fred Hollows]] on the upgraded $5 note, but failed to push through when the new note was introduced on 1 September 2016.<ref>{{Cite web |title=Campaign to put Fred Hollows on Australian $5 note |url=http://www.stuff.co.nz/world/australia/76236396/campaign-to-put-fred-hollows-on-australian-5-note |publisher=[[Stuff (website)|Stuff]] |date=25 January 2016 |access-date=25 September 2022 |archive-url=https://web.archive.org/web/20160127094516/https://www.stuff.co.nz/world/australia/76236396/campaign-to-put-fred-hollows-on-australian-5-note |archive-date=27 January 2016 |url-status=live}}</ref><ref>{{Cite web |url=https://www.abc.net.au/news/2016-01-25/fred-hollows-on-five-dollar-bill-campaign/7111356 |title='Put Fred on a fiver': Call for Australian great to feature on banknote |last1=Vernon |first1=Jackson |last2=Dalzell |first2=Stephanie |date=25 January 2016 |publisher=ABC News |language=en-AU |access-date=25 August 2019 |archive-date=18 August 2020 |archive-url=https://web.archive.org/web/20200818070717/https://www.abc.net.au/news/2016-01-25/fred-hollows-on-five-dollar-bill-campaign/7111356 |url-status=live }}</ref><ref name="new 5" />

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. Note Printing Australia prints polymer notes or simply supplies the polymer substrate<ref>{{Cite web |url=http://www.bankofcanada.ca/wp-content/uploads/2011/06/spencer.pdf |page=4 |title=Paying with Polymer: Developing Canada's New Bank Notes |publisher=[[Bank of Canada]] |date=20 June 2011 |access-date=12 August 2015 |archive-url=https://web.archive.org/web/20110626150611/https://www.bankofcanada.ca/wp-content/uploads/2011/06/spencer.pdf |archive-date=26 June 2011 |url-status=live}}</ref> for a growing number of other countries including [[Bangladesh]], [[Brunei]], [[Chile]], [[Kuwait]], [[Malaysia]], [[Mexico]], [[Nepal]], [[New Zealand]], [[Papua New Guinea]], [[Romania]], [[Samoa]], [[Singapore]], [[Solomon Islands]], [[Sri Lanka]] and [[Vietnam]]. Many other countries are showing a strong interest in the new technology.

=== Second polymer series ===
On 27 September 2012, the [[Reserve Bank of Australia]] stated that it had ordered work on a project to upgrade the current banknotes. The upgraded banknotes would incorporate a number of new future proof security features<ref>Media Release: R.B.A.: ''Upgrading Australia's Banknotes'' http://www.rba.gov.au/media-releases/2012/mr-12-27.html {{Webarchive|url=https://web.archive.org/web/20130403141719/http://www.rba.gov.au/media-releases/2012/mr-12-27.html |date=3 April 2013 }}</ref> and include tactile features like Braille dots for ease of use of the visually impaired.<ref>"Next Generation Banknotes: Additional Feature for the Vision Impaired". www.rba.gov.au (Press release). Media Office-Reserve Bank of Australia. 13 February 2015.</ref><ref>{{Cite news |url=http://www.abc.net.au/news/2015-02-18/13yo-blind-boy-successfully-campaigns-for-tactile-banknotes/6144262 |title=RBA to introduce tactile banknotes after 13yo blind boy Connor McLeod campaigns for change |first=Nance |last=Haxton |access-date=19 February 2015 |publisher=[[ABC News (Australia)|ABC News]] |date=19 February 2015 |archive-url=https://web.archive.org/web/20150219034832/http://www.abc.net.au/news/2015-02-18/13yo-blind-boy-successfully-campaigns-for-tactile-banknotes/6144262 |archive-date=19 February 2015 |url-status=live}}</ref> All persons featured on the first polymer series were retained on the second polymer series. However, following the death of Queen Elizabeth II, the government has announced that the $5 note will be replaced with a design reflecting Indigenous history and culture.<ref>{{Cite web |last= |first= |date=2023-02-02 |title=Media Release: New $5 Banknote Design |url=https://www.rba.gov.au/media-releases/2023/mr-23-02.html |access-date= |website=Reserve Bank of Australia |language=en-AU}}</ref>

{|class="wikitable"
|+ Banknote series (since 2016)
|-
!rowspan="2"| Value !!colspan="2"| Image!!colspan="2"| Design !!rowspan="2"| Dimensions<sup>1</sup> (mm) !!rowspan="2"| Weight<sup>1</sup> (g) !!rowspan="2"| Main colour !!rowspan="2"| Window image !! rowspan="2"|Embossing<sup>3</sup> !! rowspan="2"|Printed !! rowspan="2"|Issued
|-
! Front !! Back !! Front !! Back
|-
| [[Australian five-dollar note|$5]]
| [[File:2016 Australian five dollar note obverse.jpg|91px]]
| [[File:2016 Australian five dollar note reverse.jpg|91px]]
| [[Elizabeth II|Queen Elizabeth II]]
| [[Parliament House, Canberra|Parliament House]]<sup>4</sup>
| 130 × 65
| ''unknown''
| Purple
| Top-to-bottom window<sup>2</sup>
| Federation star
| Current
| 1 September 2016<ref name="new 5">{{Cite web |url=http://www.rba.gov.au/media-releases/2016/mr-16-09.html |title= Next Generation of Banknotes: $5 Banknote Design Reveal |website=www.rba.gov.au |publisher=Reserve Bank of Australia |date=12 April 2016 |access-date=25 September 2022 |archive-url=https://web.archive.org/web/20160412063819/https://www.rba.gov.au/media-releases/2016/mr-16-09.html |archive-date=12 April 2016 |url-status=live}}</ref>
|-
| [[Australian ten-dollar note|$10]]
|[[File:2017_Australian_ten_dollar_note_obverse.jpg|96px]]
|[[File:2017_Australian_ten_dollar_note_reverse.jpg|96px]]
| [[Banjo Paterson]]
| [[Mary Gilmore|Dame Mary Gilmore]]
| 137 × 65
| ''unknown''
| Blue
| Top-to-bottom window
| Pen nib
| Current
| 20 September 2017<ref>{{Cite web |url=https://www.rba.gov.au/media-releases/2017/mr-17-04.html|title=Next Generation of Banknotes: $10 Design Reveal |website=www.rba.gov.au |publisher=Reserve Bank of Australia |date=17 February 2017 |access-date=25 September 2022 |archive-url=https://web.archive.org/web/20170217014058/https://www.rba.gov.au/media-releases/2017/mr-17-04.html |archive-date=17 February 2017 |url-status=live}}</ref>
|-
|[[Australian twenty-dollar note|$20]]
|[[File:Australian_20_dollar_note_Reverse_Fourth_Series.jpeg|101px]]
|[[File:Australian_20_dollar_note_RBA_Reverse_Fourth_Series.jpeg|101px]]
| [[Mary Reibey]]
| [[John Flynn (minister)|Reverend John Flynn]]
| 144 × 65
|0.82g
|Red
| Top-to-bottom window
|Compass
|Current
| 9 October 2019<ref>{{Cite web |url=https://www.rba.gov.au/media-releases/2019/mr-19-28.html |title=Next Generation of Banknotes: $20 Enters General Circulation |website=www.rba.gov.au |publisher=Reserve Bank of Australia |date=8 October 2019 |access-date=25 September 2022 |archive-url=https://web.archive.org/web/20191108200622/https://www.rba.gov.au/media-releases/2019/mr-19-28.html |archive-date=8 November 2019 |url-status=live}}</ref>
|-
| [[Australian fifty-dollar note|$50]]
|[[File:2018_Australian_fifty_dollar_note_obverse.jpg|106px]]
|[[File:2018_Australian_fifty_dollar_note_reverse.jpg|106px]]
| [[David Unaipon]]
| [[Edith Cowan]]
| 151 × 65
| ''unknown''
| Yellow
| Top-to-bottom window
| Book
| Current
| 18 October 2018<ref>{{Cite web |url=https://www.rba.gov.au/media-releases/2018/mr-18-22.html |title=Next Generation of Banknotes: Circulation Date for the New $50 Banknote |website=www.rgba.gov.au |publisher=Reserve Bank of Australia |date=5 September 2018 |access-date= |archive-url=https://web.archive.org/web/20181229220242/https://www.rba.gov.au/media-releases/2018/mr-18-22.html |archive-date=29 December 2018 |url-status=live}}</ref>
|-
| [[Australian one hundred-dollar note|$100]]
| [[File:Australian 100 dollar note Obverse Fourth Series.jpeg|111px]]
| [[File:Australian 100 dollar note Reverse Fourth Series.jpg|111px]]
| Dame [[Nellie Melba]]
| Sir [[John Monash]]
| 158 × 65
| ''unknown''
| Green
| Top-to-bottom window
| Fan
|Current
| 29 October 2020<ref>{{Cite web |url=https://www.rba.gov.au/media-releases/2020/mr-20-21.html |title=Next Generation of Banknotes: Circulation Date for the New Banknote |website=www.rba.gov.au |publisher=Reserve Bank of Australia |date=30 September 2020 |access-date=25 September 2022 |archive-url=https://web.archive.org/web/20201017135848/https://www.rba.gov.au/media-releases/2020/mr-20-21.html |archive-date=17 October 2020 |url-status=live}}</ref><ref>{{Cite web |url=https://www.9news.com.au/national/australias-new-100-dollar-banknote-enters-circulation-impossible-to-forge/6e66da0b-7512-434e-bd47-e2100f015cb4 |title=Australia's new $100 banknote enters circulation |publisher=9 News Australia |date=29 October 2020 |access-date=25 September 2022 |archive-date=31 March 2022 |url-status=live |archive-url=https://web.archive.org/web/20220331123359/https://www.9news.com.au/national/australias-new-100-dollar-banknote-enters-circulation-impossible-to-forge/6e66da0b-7512-434e-bd47-e2100f015cb4 }}</ref>
|-
|colspan="12"|{{Standard banknote table notice|standard_scale=Y|BrE=Y}} <small>Source: Reserve Bank of Australia.<ref name=rba-mus-polymer>{{cite web|title=A Complete Series of Polymer Banknotes: 1992–1996|url=http://museum.rba.gov.au/displays/a-complete-series-of-polymer-banknotes/|website=Reserve Bank of Australia Museum|publisher=Reserve Bank of Australia|access-date=31 December 2015|archive-url=https://web.archive.org/web/20160215071843/http://museum.rba.gov.au/displays/a-complete-series-of-polymer-banknotes/|archive-date=15 February 2016|url-status=dead}}</ref><ref>{{Cite news|url=https://banknotes.rba.gov.au/banknote-features|title=RBA Banknotes: Banknote Features|access-date=2018-04-09|language=en|archive-date=7 July 2022|archive-url=https://web.archive.org/web/20220707131344/https://www.banknotes.rba.gov.au/banknote-features/|url-status=live}}</ref></small>
|-
|colspan="12"|
{{smalldiv|
'''Remarks''':
# Thickness and weight of notes is ±5 percent with a 1,000-note sample
# A new clear polymer window that goes from the top to the bottom of the note
# Embossing is inside the small window.
# There are two blocks of micro-text on the reverse side of the Fourth series five dollar note, which contains excerpts of the [[Constitution of Australia]]}}
|}

== Exchange rates ==
=== Exchange rate history ===
[[File:Euro exchange rate to AUD.svg|thumb|right|The cost of one euro in Australian dollars]]
<!-- Editor, please don't change this page every time you hear about a new high. Keep in mind style, and edit guides before you do anything. See also [[WP:Wikipedia is not a newspaper]]. -->

Prior to 1983, Australia maintained a [[fixed exchange rate]]. The Australian pound was initially at par from 1910 with the British pound or £A1 = £1 (United Kingdom); from 1931 it was devalued to £A1 = GB£0.80 (16 [[shilling]]s sterling). This reflected its historical ties as well as a view about the stability in value of the British pound.

From 1946 to 1971, Australia maintained a peg under the [[Bretton Woods system]], a fixed exchange rate system that pegged the [[U.S. dollar]] to gold, but the Australian dollar was effectively pegged to sterling until 1967 at £1 sterling = A$2.50 = US$2.80 (A$1 = 8s sterling). In 1967, Australia did not follow the pound sterling devaluation and remained fixed to the U.S. dollar at A$1 = US$1.12 = 9s 4d sterling.

With the breakdown of the Bretton Woods system in 1971, Australia converted the traditional peg to a [[managed float regime]] against the US dollar. In September 1974, Australia managed the dollar's exchange rate against a basket of currencies (called the [[trade weighted index]] (TWI)) in an effort to reduce the fluctuations associated with its tie to the US dollar.<ref>{{cite web |url=http://www.abs.gov.au/ausstats/abs@.nsf/90a12181d877a6a6ca2568b5007b861c/d4a22ad91e0348bfca256fd3007baf93!OpenDocument |title=1350.0 – Australian Economic Indicators, Mar 1998 |publisher=[[Australian Bureau of Statistics]] |date=8 December 2006 |access-date=19 April 2011 |archive-date=16 October 2015 |archive-url=https://web.archive.org/web/20151016030017/http://www.abs.gov.au/ausstats/abs@.nsf/90a12181d877a6a6ca2568b5007b861c/d4a22ad91e0348bfca256fd3007baf93!OpenDocument |url-status=live }}</ref> The daily TWI valuation was changed in November 1976 to a periodically adjusted valuation.

The highest valuation of the Australian dollar relative to the U.S. dollar was during the period of the peg to the U.S. dollar.  On 9 September 1973, the peg was adjusted to US$1.4875, the fluctuation limits being changed to US$1.485–US$1.490;<ref>{{cite book |title = World Currency Yearbook, 1984 |year=1985 |isbn=0-917645-00-6 |page=75 |editor-first = Philip P. |editor-last = Cowitt |publisher =International Currency Analysis }}</ref> on both 7 December 1973 and 10 December 1973, the noon buying rate in New York City for cable transfers payable in foreign currencies reached its highest point of 1.4885 U.S. dollars to one dollar.<ref>{{cite web |title = U.S. / Australia Foreign Exchange Rate |publisher = Federal Reserve Bank of St. Louis |url = http://research.stlouisfed.org/fred2/data/DEXUSAL.txt |access-date = 3 January 2020 |archive-date = 2 January 2016 |archive-url = https://web.archive.org/web/20160102151628/https://research.stlouisfed.org/fred2/data/DEXUSAL.txt |url-status = live }}</ref>

[[File:ABC Dollar Float.ogv|thumb|1983 [[Australian Broadcasting Corporation|ABC]] news report on the first day of trading with a floating dollar]]

In December 1983, the [[Australian Labor Party|Australian Labor]] [[government of Australia|government]] led by [[Prime Minister of Australia|Prime Minister]] [[Bob Hawke]] and [[Treasurer of Australia|Treasurer]] [[Paul Keating]] ended the managed exchange rate scheme in favour of a [[floating exchange rate]] set by supply and demand on international money markets. The decision was made on 8 December 1983 and announced on 9 December 1983.<ref>{{cite news |title = 20 years since Aussie dollar floated |url = http://www.abc.net.au/am/content/2003/s1005317.htm |access-date=14 October 2010 |publisher=[[Australian Broadcasting Corporation]] |date=8 December 2003 |archive-url=https://web.archive.org/web/20101011022103/http://www.abc.net.au/am/content/2003/s1005317.htm |archive-date=11 October 2010 |url-status=live}}</ref>

In the two decades that followed, its highest price relative to the US dollar was US$0.881 in December 1988. The lowest ever price of the Australian dollar after it was floated was 47.75 US cents in April 2001.<ref>{{cite news |title=Global risk weighs on Howard's agenda |url=http://edition.cnn.com/2001/BUSINESS/asia/11/12/aust.economy.biz/ |access-date=14 October 2010 |publisher=[[CNN]] |date=12 November 2001 |archive-date=15 May 2011 |archive-url=https://web.archive.org/web/20110515140207/http://edition.cnn.com/2001/BUSINESS/asia/11/12/aust.economy.biz/ |url-status=live }}</ref> It returned to above 96 US cents in June 2008,<ref>{{cite news |title=Dollar Falls Before RBA Meeting: New Zealand's Drops |url=https://www.bloomberg.com/apps/news?pid=newsarchive&sid=aQV4HwdZoDek |access-date=14 October 2010 |publisher=[[Bloomberg L.P.|Bloomberg]] |date=30 June 2008 |archive-date=11 May 2011 |archive-url=https://web.archive.org/web/20110511042749/http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aQV4HwdZoDek |url-status=live }}</ref> and reached 98.49 later that year. Although the price of the Australian dollar fell significantly from this high towards the end of 2008, it gradually recovered in 2009 to 94 US cents.

On 15 October 2010, the Australian dollar reached parity with the US dollar for the first time since becoming a freely traded currency, trading above US$1 for a few seconds.<ref>{{Cite news |title=Dollar hits parity vs US dollar |url=https://www.reuters.com/article/idUSN1518042820101015 |access-date=15 October 2010 |work=[[Reuters]] |date=15 October 2010 |archive-url=https://web.archive.org/web/20101018073348/https://www.reuters.com/article/idUSN1518042820101015 |archive-date=18 October 2010 |url-status=live}}</ref> The currency then traded above parity for a sustained period of several days in November, and fluctuated around that mark into 2011.<ref>{{cite news |title = Dollar hits new post-float high after US central bank move |url=http://www.theaustralian.com.au/business/markets/australian-dollar-hits-new-post-float-high-after-us-central-bank-move/story-e6frg91o-1225947591487 |newspaper=[[The Australian]] |access-date=25 January 2011 |first=Bradley |last=Davis |date=4 November 2010 |archive-url=https://web.archive.org/web/20110122115604/http://www.theaustralian.com.au/business/markets/australian-dollar-hits-new-post-float-high-after-us-central-bank-move/story-e6frg91o-1225947591487 |archive-date=22 January 2011 |url-status=live}}</ref> On 27 July 2011, the dollar hit a record high since floating, at $1.1080 against the US dollar.<ref>{{Cite news |url = http://www.rttnews.com/ArticleView.aspx?Id=1611446 |access-date = 2 May 2011 |title = AUD/USD Slides After Topping 1.10 Level – Westpac |archive-date = 14 January 2023 |archive-url = https://web.archive.org/web/20230114143247/https://www.rttnews.com/story.aspx?Id=1611446 |url-status = live }}</ref> Some commentators speculated that its high value that year was related to [[European debt crisis|Europe's sovereign debt crisis]], and Australia's strong ties with material importers in Asia and in particular [[China]].<ref>{{Cite web |url=http://www.skynews.com.au/businessnews/article.aspx?id=594335 |title=Sky News: Aussie dollar hits new highs |publisher=[[Sky News]] |date=28 March 2011 |access-date=19 April 2011 |archive-url=https://web.archive.org/web/20110728022926/http://www.skynews.com.au/businessnews/article.aspx?id=594335 |archive-date=28 July 2011 |url-status=dead}}</ref>

Since the end of China's large-scale purchases of Australian commodities in 2013, however, the Australian dollar's price in US dollar terms fell to US$0.88 as of end-2013, and to as low as US$0.57 in March 2020. As of 2024, it has traded at a range of US$0.63 to US$0.68.

=== Determinants of value ===
In 2016, the Australian dollar was the fifth most traded currency in world [[foreign exchange market]]s, accounting for 6.9% of the world's daily share (down from 8.6% in 2013)<ref>{{cite web |url = http://www.businessinsider.com/the-most-traded-currencies-in-2016-2016-12 |title = Here are the most traded currencies in 2016 |website = Business Insider |first = Jeff |last = Desjardins |date = 29 December 2016 |access-date = 30 June 2017 |archive-date = 7 July 2017 |archive-url = https://web.archive.org/web/20170707135916/http://www.businessinsider.com/the-most-traded-currencies-in-2016-2016-12 |url-status = live }}</ref> behind the [[United States dollar]], the [[euro]], the [[Japanese yen]] and the [[pound sterling]].

The Australian dollar is popular with currency traders, because of the comparatively high interest rates in Australia, the relative freedom of the foreign exchange market from government intervention, the general stability of [[Economy of Australia|Australia's economy]] and political system, and the prevailing view that the Australian dollar offers diversification benefits in a portfolio containing the major world currencies, especially because of its greater exposure to Asian economies and the commodities cycle.<ref name="SMH1" />

Economists posit that commodity prices are the dominant driver of the Australian dollar, and this means changes in exchange rates of the Australian dollar occur in ways opposite to many other currencies.<ref>{{cite web |url = http://www.westpac.com.au/docs/pdf/aw/economics-research/MarketInsights.pdf |publisher=Westpac |title=Westpac Market Insights March 2011 |page=4 |access-date=8 April 2011 |archive-url = https://web.archive.org/web/20110307030949/https://www.westpac.com.au/docs/pdf/aw/economics-research/MarketInsights.pdf |archive-date=7 March 2011 |url-status=dead}}</ref> For decades, Australia's balance of trade has depended primarily upon commodity exports such as minerals and agricultural products. This means the Australian dollar varies significantly during the business cycle, rallying during global booms as Australia exports raw materials, and falling during recessions as mineral prices slump or when domestic spending overshadows the export earnings outlook. This movement is in the opposite direction to other reserve currencies, which tend to be stronger during market slumps as traders move value from falling stocks into cash.

The Australian dollar is a [[reserve currency]] and one of the most traded currencies in the world.<ref name="SMH1">{{cite news |url=https://www.smh.com.au/business/aussie-now-fifth-mosttraded-currency-20100901-14nma.html |title=Aussie now fifth most traded currency |newspaper=[[The Sydney Morning Herald]] |date=2 September 2010 |access-date=19 April 2011 |last=Yeates |first=Clancy |archive-date=5 April 2011 |archive-url=https://web.archive.org/web/20110405073729/http://www.smh.com.au/business/aussie-now-fifth-mosttraded-currency-20100901-14nma.html |url-status=live }}</ref> Other factors in its popularity include a relative lack of central bank intervention, and general stability of the Australian economy and government.<ref>{{cite web |url=http://www.safehaven.com/article/4608/analyzing-the-australian-dollar-up-down-and-under |title=Analyzing the Dollar – Up, Down, and Under |first=Gary |last=Dorsch |date=14 February 2006 |website=SafeHaven.com |access-date=8 April 2011 |archive-date=31 October 2010 |archive-url=https://web.archive.org/web/20101031201958/http://www.safehaven.com/article/4608/analyzing-the-australian-dollar-up-down-and-under |url-status=live }}</ref> In January 2011 at the [[World Economic Forum]] in [[Davos]], [[Switzerland]], [[Alexey Ulyukaev]] announced that the [[Central Bank of Russia]] would begin keeping Australian dollar reserves.<ref>{{cite news |url=http://en.ria.ru/business/20120126/170960429.html |title=Russia to Keep Dollar Reserves From February |date=26 January 2012 |publisher=[[RIA Novosti]] |access-date=27 January 2012 |location=[[Davos]], [[Switzerland]] |archive-date=12 June 2012 |archive-url=https://web.archive.org/web/20120612135834/http://en.ria.ru/business/20120126/170960429.html |url-status=live }}</ref>

{{Most traded currencies}}

=== Current exchange rates ===
{{Exchange Rate|AUD|NZD}}

== Legal tender ==
===Within Australia===
Australian notes are [[legal tender]] throughout Australia by virtue of section 36(1) of the ''Reserve Bank Act 1959'' without an amount limit.<ref>{{Cite Legislation AU|Cth|act|rba1959130|Reserve Bank Act 1959|36}}</ref> Section 16 of the ''Currency Act 1965'' similarly provides that Australian coins intended for general circulation are also legal tender, but only for the following amounts:<ref>{{Cite Legislation AU|Cth|act|ca1965120|Currency Act 1965|16}}</ref>
* 1c and 2c coins (withdrawn from circulation from February 1992, but still legal tender): for payments not exceeding 20c
* 5c, 10c, 20c and 50c (of any combination): for payments not exceeding $5
* $1 coins: for payments not exceeding $10
* $2 coins: for payments not exceeding $20
* Non-circulating $10 coins: for payments not exceeding $100<ref name="currency_act">{{Cite web|url=https://www.legislation.gov.au/Details/C2016C01090|title=Currency Act 1965|date=21 October 2016 |access-date=24 July 2018|archive-date=9 May 2019|archive-url=https://web.archive.org/web/20190509005541/https://www.legislation.gov.au/Details/C2016C01090|url-status=live}}</ref>
* Coins of other denominations: no lower limit

However, being legal tender does not necessarily oblige businesses to accept cash. The Reserve Bank states that businesses can set commercial terms for a transaction that requires the use of a non-cash payment.<ref name="rbalegaltender">{{cite web |title=RBA Banknotes: Legal Tender |url=http://banknotes.rba.gov.au/legal/legal-tender/ |url-status=live |archive-url=https://web.archive.org/web/20141213015111/http://banknotes.rba.gov.au/legal/legal-tender/ |archive-date=13 December 2014 |website=rba.gov.au}}</ref> However, a business may technically be required to accept cash if they are taken to court, but this is usually not a viable option for consumers.<ref>{{Cite news |last=Watterson |first=Larrisa |date=2024-02-08 |title=Legal tender rights for Australians in the headlines again following Bob Katter's cafe cash snub |url=https://www.abc.net.au/news/2024-02-08/right-to-pay-with-cash-or-card-legal-tender-bob-katter/103441698 |access-date= |work=ABC News (Australia) |language=en-AU}}</ref>

===Outside Australia===
Australian notes and coins are also legal tender in the independent sovereign states of [[Kiribati]], [[Nauru]], and [[Tuvalu]].<ref name=nauru/><ref name=tuvalu/><ref name=kiribati/> Nauru never had its own currency. Tuvalu and Kiribati additionally had their respective [[Tuvaluan dollar|Tuvaluan]] and [[Kiribati dollar|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. As a result, the Australian dollar is the dominant currency in both countries.

Tuvalu also issues non-circulating commemorative bullion coins produced by the [[Perth Mint]].<ref>{{cite web|url=https://www.perthmint.com/news/collector/coin-collecting/explaining-tuvalus-role-in-modern-coins/|title=Explaining Tuvalu's role in modern coins|publisher=Perth Mint|date=27 August 2019|access-date=11 February 2023}}</ref><ref>{{cite web|url=https://www.abc.net.au/news/2020-05-31/tuvalu-pacific-collectable-coins-perth-mint/12290590|title=Why the tiny Pacific nation of Tuvalu wants a bigger share of the collectable coin market|publisher=ABC News|date=31 May 2020|access-date=11 February 2023}}</ref>

== See also ==
{{Portal|Asia|Australia|Money|Numismatics|Oceania}}
* [[Banking in Australia]]
* [[Brass razoo]]
* [[Coins of Australia]]
* [[Economy of Australia]]
* [[Note Printing Australia]]
* [[Section 51 (xii) of the Constitution of Australia]]

== Explanatory notes ==
{{Notelist}}

== References ==
=== Citations ===
{{Reflist}}

=== Sources ===
{{Refbegin}}
* {{Numis cite SCWC |date=1991}}
* {{Numis cite SCWPM |date=1994}}
{{Refend}}

== External links ==
{{Commons category multi|Australian dollar}}
* [https://web.archive.org/web/20120423103106/http://naa12.naa.gov.au/scripts/Imagine.asp?B=869021&I=1&SE=1 Sound recording of 1966 Decimal Currency radio advertisement] held at the [[National Archives of Australia]]
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* [http://www.australianstamp.com/Coin-web/aust/decimal.htm Australian Decimal Currency]  ===> Error 404 – Page Not Found
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* [https://banknotes.rba.gov.au/australias-banknotes/ Reserve Bank of Australia: Current Banknotes]
* The [https://www.perthmint.com/ Perth Mint] is Australia's precious metals mint, making non-circulating/collector coins in silver, gold, and [[platinum]].
* [https://www.noteprinting.com/ Note Printing Australia] is the printer of Australia's notes, and also inventor of the abovementioned polymer banknotes, and world exporter of this technology.
<!--
* [https://www.rba.gov.au/statistics/frequency/exchange-rates.html Current value of the Australian dollar (as measured by CPI) (source is RBA)] (Note that a higher CPI figure indicates a reduction of value for the dollar.)  ===> Error 404 – Page Not Found
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* The [https://www.moneytracker.com.au/ Money Tracker] site allows users to track Australian banknotes as they circulate around Australia.
* [https://colnect.com/en/banknotes/list/country/13-Australia Images of historic and modern Australian bank notes]
* [https://www.rba.gov.au/statistics/frequency/exchange-rates.html Reserve Bank of Australia – daily value of AUD against 13 currencies, special drawing right and trade weighted index]
* [https://www.rba.gov.au/statistics/historical-data.html?v=2022-09-25-02-11-35#exchange-rates Reserve Bank of Australia – historical data of AUD since 1969 (various .xls files)]
* [https://www.bis-ans-ende-der-welt.net/Australien-B-En.htm The banknotes of Australia] {{in lang|en|de}}

{{N-start}}
{{N-before|currency=[[Australian pound]]|reason=[[decimalisation]]|ratio=2 dollars = 1 pound}}
{{N-currency|location=[[Australia]], [[Christmas Island]], [[Cocos (Keeling) Islands|Cocos Islands]], [[Norfolk Island]], [[Nauru]], [[Kiribati]], [[Tuvalu]]|start=14 February 1966}}
{{N-after}}
{{N-before|currency=[[New Guinean pound]]|reason=[[decimalisation]]|ratio=2 dollars = 1 pound}}
{{N-currency|location=[[Papua New Guinea]]|start=14 February 1966|end=1975}}
{{N-after|currency=[[Papua New Guinean kina]]|reason=currency independence|ratio=at par}}
{{N-before|currency=[[Australian pound]]|reason=[[decimalisation]]|ratio=2 dollars = 1 pound}}
{{N-currency|location=[[Solomon Islands]]|start=14 February 1966|end=1977}}
{{N-after|currency=[[Solomon Islands dollar]]|reason=currency independence|ratio=at par}}
{{End}}
{{Australian currency}}
{{Dollar}}
{{Currencies of Oceania}}
{{Currencies of Asia}}
{{Australia topics}}
{{Economy of Australia}}
{{Authority control}}

[[Category:1966 establishments in Australia]]
[[Category:Articles containing video clips]]
[[Category:Circulating currencies]]
[[Category:Currencies introduced in 1966]]
[[Category:Currencies of Australia]]
[[Category:Currencies of Kiribati]]
[[Category:Currencies of Nauru]]
[[Category:Currencies of Tuvalu]]
[[Category:Dollar]]
[[Category:Economy of Australia|Dollar, Australian]]
[[Category:Foreign trade of Australia]]
[[Category:Currencies of Oceania]]
[[Category:Currencies of Asia]]