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Exploring the Mexican Currency- What is Known as the Peso-

What is Mexican currency called? The official currency of Mexico is known as the Mexican Peso, abbreviated as MXN. It is the 14th most traded currency in the world and is used across the country for all transactions, both in the formal and informal sectors.

The Mexican Peso was introduced in 1993, replacing the Mexican Unidad de Medida y Actualización (UMA) at a fixed exchange rate. The peso is subdivided into 100 centavos, although the use of centavos in daily transactions has become less common over the years.

The currency’s symbol, “MX$”, is used alongside the peso name in financial transactions and official documents. The peso has a rich history, with its origins dating back to the Spanish colonization of Mexico in the 16th century. Initially, the currency was based on the Spanish silver peso, which was itself derived from the Spanish dollar.

Over the years, the Mexican Peso has undergone several reforms and devaluations, reflecting the country’s economic ups and downs. In recent times, the peso has been influenced by various factors, including global oil prices, trade policies, and the economic performance of its main trading partners.

The Mexican Central Bank, known as the Banco de México, is responsible for the issuance and regulation of the peso. The bank prints and distributes banknotes, while coins are minted by the Mexican Mint (Real Casa de la Moneda). Both banknotes and coins come in various denominations, catering to different transaction needs.

The most common denominations of Mexican Pesos include 20, 50, and 100 peso banknotes, as well as 5, 10, and 20 peso coins. The design of the banknotes and coins often feature prominent Mexican historical figures, landmarks, and symbols, showcasing the country’s rich cultural heritage.

In conclusion, the Mexican currency is called the Peso (MXN), a symbol of the country’s economic and cultural identity. Its history, denominations, and the institutions responsible for its management reflect the evolution of Mexico’s economy and its commitment to stability and growth.

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