Fijian Pound - History

History

From its earliest days as a British colony, British sterling coinage circulated in Fiji, supplemented by locally produced paper money. During the great depression of the 1930s, the Australian and New Zealand banks devalued their currencies in order to bolster exports to the UK. These banks also controlled the exchange rate for Fiji, and in 1933 the Fiji pound was devalued to £1.11 Fijian = £1 Sterling in order to bring it into line with the devalued New Zealand pound, even though the New Zealand pound would very shortly devalue further to bring it into line with the devalued Australian pound. In 1934, as a result of the break in parity with sterling, Fiji began to issue its own coins. When the pound sterling was devalued on 20 November 1967, Fiji immediately followed suit. However, over the next week, Fiji considered the adverse effects that this devaluation would have on imports to Fiji while keeping an eye on how Australia and New Zealand were going to respond to the situation. On 28 November 1967, Fiji decided to partially revalue its pound, hence resulting in a sterling exchange rate of £104.10.0 Fijian = £100 Sterling. This had the effect of bringing the Fijian pound closer to its original relationship to the Australian and New Zealand units as existed prior to the upheavals which took place in the exchange rates at the time of the great depression in the 1930s. In 1969, the Fijian pound was replaced by the Fijian dollar at a rate of 1 Fijian pound = 2 Fijian dollars such that the new Fijian dollar was approximately equal to the new dollars in Australia and New Zealand.

For a more general view of history in the wider region, see The Pound Sterling in Australia, New Zealand, and Oceania.