In Brazil, the real is the national currency in the form of banknotes. There are coins under the designation Centavos, where 100 Centavos correspond to one Real. The ISO code is BRL and the designation R $ is used as a common abbreviation.
History of the Brazilian real
From 1690 to 1942, the real was also the currency of Brazil, but was then replaced by the cruzeiro. After years of major inflation problems, a large and comprehensive stabilization program was decided in 1993, which made a new currency necessary, so that in 1994 the real, which is valid today, was reintroduced as the national currency.
With the introduction, a controlled devaluation took place in order to equate the real 1: 1 with the value of the US dollar in order to achieve stability for the currency and thus for the country.
In 1999, however, there was a major currency crisis, a lot of capital was withdrawn from the country and an extreme devaluation of the real by 50% was necessary despite an immense international aid package, in which 40 billion US dollars were raised under the direction of the International Monetary Fund. to help the country. After further devaluations, after reforms and new framework conditions in Brazil, it was not until 2003 that the real finally stabilized.
Currency exchange into the Brazilian real
If you are planning a trip to Brazil, you should refrain from changing your money in real at home, as this usually leads to significant losses. It is also not necessary to make the way to the Sugar Loaf with Real in your wallet, because the most important expenses can be made with US dollars after landing in Brazil. US dollars have to be declared upon entry, but there are no restrictions on importation. At the airport in particular, you have the option of changing the local real back into US dollars at any time.
At international airports and in the exchange offices known as Casa de Cambio, you can exchange foreign money for the Brazilian currency without any problems. This option is also available in the hotel, but in most cases it is an exchange at the most unfavorable exchange conditions. The most attractive ways to get the Brazilian real cheaply are on the one hand the travelers checks, which generally offer the best exchange rate. On the other hand, Brazil offers a good infrastructure in terms of the number of ATMs. There you have the option of withdrawing as much money as you need at any time, especially with credit cards, so that you don’t have to carry huge amounts of cash with you.
It looks different when planning trips to more rural areas of the country. Since there are usually no exchange options there, you should stock up on enough Brazilian currency before such a trip so that you do not end up without money.