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Panamanian balboa
1⁄2 balboa(front) 1⁄2 balboa(back)
12 balboa
(front)
12 balboa
(back)
ISO 4217 Code PAB
User(s)  Panama (alongside the U.S. dollar)
Pegged with U.S. dollar at par
Subunit
1100 Centésimo
Symbol B/. or ฿.
Coins 1 and 5 centésimos, 110, 14, 12, and 1 balboa
Banknotes None (U.S. banknotes are employed instead, although denominated in balboas)
1 Panama now uses U.S. dollar notes.

The balboa (sign: B/.; ISO 4217: PAB) is the official money of Panama, used together with the United States dollar. It is named after Vasco Núñez de Balboa, a famous Spanish explorer. The balboa is divided into 100 smaller parts called centésimos.

History

The balboa became Panama's money in 1904. This happened right after Panama gained its independence. Since then, the balboa has always been linked to the United States dollar at a 1:1 value. This means one balboa is always worth one U.S. dollar. Both currencies are used side-by-side in Panama.

Panama has never had its own official central bank. A central bank usually handles a country's money supply. Instead, the National Bank of Panama, which is a government-owned bank, helps manage some of these tasks. Another group, the National Banking Commission, helps supervise banks in Panama.

Coins

Current Coins

Panama uses several coins for the balboa. These coins are very similar in size and what they are made of to U.S. coins.

Denomination Obverse Reverse Diameter Thickness Mass Composition Edge Minted
Un centésimo (B/. 0.01) 1 centesimo de balboa.jpg Urracá Denomination 19.05 mm 1.55 mm 3.11 g Copper 95%
Tin/Zinc 5%
Smooth 1935–1982
2.50 g Copper 2.5%
Zinc 97.5%
1983–Present
Cinco centésimos de balboa (B/. 0.05) 5 centavos de balboa.jpg Denomination Panamanian Coat of Arms 21.21 mm 1.95 mm 5 g Copper 25%
Nickel 75%
Smooth 1929–Present
Un décimo de balboa (B/. 0.10) 10 centesimos de balboa.jpg Vasco Núñez de Balboa 17.91 mm 1.35 mm 2.268g Copper 91.67%
Nickel 8.33%
118 reeds 1966–Present
Un cuarto de balboa (B/. 0.25) Un cuarto de Balboa.jpg 24.26 mm 1.75 mm 5.67g 119 reeds
Medio balboa (B/. 0.50) 50 centavos de balboa.jpg 30.61 mm 2.15 mm 11.34 g 150 reeds 1973–Present
Un balboa (B/. 1) 1-balboa-panamc3a1-2011.jpg Liberty with Panamanian Coat of Arms 38.1 mm 2.58 mm 22.68 g reeded 1973–2010
Panamanian Coat of Arms 26.5 mm 2 mm 7.2 g Outer ring: Nickel-plated steel
Center: Nickel-brass-plated steel
reeded with inscription 2011–Present

Older Coins

In 1904, Panama first made silver coins in values like 2½, 5, 10, 25, and 50 centésimos. The 2½ centésimos coin was very small, weighing only 1.25 grams. Because of its tiny size, people called it the "Panama pill" or the "Panama pearl."

Later, in 1907, coins made of copper-nickel were introduced. These included the ½ and 2½ centésimo coins. In 1929, 5 centésimo coins also started being made from copper-nickel.

In the 1930s, coins for 1/10, 1/4, and 1/2 balboa were made. A 1 balboa coin followed in 1931. These coins were exactly like the matching U.S. coins in size and what they were made of. In 1935, bronze 1 centésimo coins were introduced, and in 1940, 1¼ centésimo coins were minted.

In 1966, Panama changed the materials for its silver coins, just like the U.S. did. For example, the 1/10 and 1/4 balboa coins were made with copper-nickel. The 1/2 balboa coin used less silver. A 1 balboa silver coin was also made that year, the first since 1947.

By 1973, the 1/2 balboa coins were made of copper-nickel. The 2½ centésimos coin was brought back in 1973, but it was stopped two years later because people didn't use it much. In 1983, 1 centésimo coins changed from copper to copper-plated zinc, just like the U.S. cent. Larger 1 balboa coins have been made since 1982, still made of copper-nickel.

Today, the 1 and 5 centésimo, 1/10, 1/4, and 1/2 balboa coins are the same weight, size, and material as the U.S. cent, nickel, dime, quarter, and half dollar. In 2011, new 1-balboa coins were made from two different metals. They are the same size as the U.S. dollar coin.

Panama has also made special commemorative coins to celebrate events or people. These coins have values like 5, 10, 20, 50, 75, 100, 150, 200, and 500 balboas. In 1971, a 20 balboa silver coin was made to honor Simón Bolívar. It was the largest silver coin in the world at that time!

Denomination Obverse Reverse Diameter Thickness Mass Composition Edge Minted
Medio Centesimo de Balboa (12¢)
(No longer used since 1940)
Vasco Núñez de Balboa Denomination Copper-nickel Smooth 1907
Uno y Cuarto Centesimos (1+14¢)
(No longer used since 1970)
Vasco Núñez de Balboa Denomination Copper 95%
Tin/Zinc 5%
Smooth 1940
Dos y Medio Centesimos de Balboa (2+12¢)
(No longer used since 1976)
Vasco Núñez de Balboa Panamanian Coat of Arms 1.25 g 90% Silver, 10% copper Smooth 1904
Denomination 18 mm 3.3 g Copper-nickel 1907–1940
Panamanian Coat of Arms 10 mm Copper-nickel-plated copper 1973–1976

Banknotes

Panama does not print its own paper money. Instead, it uses U.S. banknotes for all its cash needs.

In 1941, Panama's President Arnulfo Arias tried to start a central bank to print paper money. The bank was created on September 30, 1941. However, President Arias was removed from power in October. The new banknotes were then taken out of circulation and most were destroyed.

Exchange Rate

Current PAB exchange rates
From Google Finance: AUD CAD CHF EUR GBP HKD JPY USD EUR JPY USD
From Yahoo! Finance: AUD CAD CHF EUR GBP HKD JPY USD EUR JPY USD
From XE.com: AUD CAD CHF EUR GBP HKD JPY USD EUR JPY USD
From OANDA: AUD CAD CHF EUR GBP HKD JPY USD EUR JPY USD
From fxtop.com: AUD CAD CHF EUR GBP HKD JPY USD EUR JPY USD

See also

Kids robot.svg In Spanish: Balboa (moneda de Panamá) para niños

  • Economy of Panama
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