Norwegian krone is the national currency of Norway. Norwegian krone exchange rate The emergence of money in Norway
Since Norway is not one of the countries belonging to the European Union, it maintains its national currency, which is called the Norwegian krone and is equal to 100 øre. Despite its independence from the EU countries, Norway can boast of a fairly stable level of development of its monetary system, and the Norwegian kroner is widely known in the world. Being the country's domestic currency, kroons are easily converted into the denomination of any other currency.
Origin of the crown: gold and silver of ancient Europe
The name “krona” is quite common to refer to European currencies, because the word itself comes from the same root “crown”, because for a long time the production of money was the exclusive privilege of royal craftsmen.
The Norwegian mint began its work near silver deposits, so initially Norwegian money was issued exclusively in silver. Later, after the mine was depleted, craftsmen began to use gold, which is reflected in the name of the smaller denomination: the prototype of the era was the ancient Roman coin aureus, which translated means “golden”.
During the occupation of the country during the Second World War, Norway's gold reserves were taken to Great Britain and stored in London. Since 1962, the cash reserves have returned to their homeland, continuing to work for the benefit of the Norwegians. In 2000, the coin company's pompous name, "Royal Norwegian Mint", was shortened to "Norwegian Mint", retaining the emblem of two crossed hammers.
Currency conversion in Norway
Currency exchange in Norway takes place in bank and post offices, as well as in most hotels and special exchange offices. Since the economic life of the country uses a floating exchange rate regime, which depends on the level of inflation, exchange in banks remains the most profitable; They work from approximately 8 am to 3 pm on weekdays. Some banks, which are located in tourist areas, work much longer, without taking into account a short break, their working day ends at approximately 11 pm on weekdays and at 5 pm on Saturdays.
Since currency exchange in this country is not profitable due to high interest rates (from 2% to 5% with a fixed commission amount of $5), the most common is non-cash payments using plastic cards of any banks without restrictions.
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The country's monetary unit is the Norwegian krone (NOK), there are 100 ores in 1 kroner. Current rate: 1 NOK = 7.31 RUB (1 USD = 9.11 NOK, 1 EUR = 10.03 NOK).
Currently in circulation are coins in denominations of 50 ore (ere), 1, 5, 10 and 20 crowns. Banknotes: 50, 100, 200, 500 and 1000 kroner.
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The first coins in Norway appeared under King Olaf I Trygvasson (995-999). However, the real currency of the country, close to modern concepts, began to be minted in 1626 by the mint in Christiania (Oslo). In 1686, the yard was moved to Kongsberg, whose mine fed the Norwegian treasury until 1957, when it was depleted.
In 1695 the first Norwegian banknotes were issued. And on February 3, 1855, the paper riksdaler riksmint (equal to 100 öre) was also declared legal tender. On June 4, 1873, the Norwegian parliament decided to switch to the gold standard. The krona that we know now was introduced by law on April 17, 1875 in connection with Norway's entry into the Scandinavian Monetary Union. Before this, the monetary unit was the specidaler.
In 2000, the country's mint was transformed into a limited company, and in 2004 changed its name from the Royal Norwegian Mint to the Norwegian Mint. Its designation is crossed hammers.
The Norwegian krone has undergone significant visual changes. At the end of May 2017, the Central Bank of Norway put new banknotes into circulation. This time, the Central Bank decided to abandon traditional portraits in favor of a more modern design that matches the spirit of the country.
From this article you will learn why the new banknotes are unique, why the design was developed by two studios at once, and what task the Central Bank gave for the competition.
Final version of 1000 kronor: obverse The Metric System, reverse - Snøhetta Design To make a new design, the Central Bank of Norway announced a competition in the spring of 2014, in which about 70 studios and designers participated. During the competition, the bank assigned a specific image theme related to the sea for each banknote. As a result, two projects by the studios The Metric System and Snøhetta Design won, whose ideas were combined in the final version. So far these are banknotes in denominations of only 50 and 200 crowns; the rest are planned to be released later. The last one, with a face value of 1000, will be released in 2019.
A country's banknotes are often a visitor's first point of contact with the destination. And the impression they make can set the vector for a person’s future relationship with the country. In other words, money is a calling card that can tell a lot about a nation.
The new Norwegian money plays this role perfectly. Below we will first look at the competition projects of the two winning studios, and then the result of their joint work with the central bank.
Project by The Metric System studio
The Metric System is a graphic design studio based in Oslo. They worked together with Norwegian illustrator Terje Tonnesen, who drew the images for the banknotes. Each banknote created by the studio tells a different story about the Norwegian way of life: its identity, cultural heritage and society itself. Their idea is to inspire Norwegians and remind them of the positive feelings and exciting memories associated with the coast.
The reverse side of the banknotes featured different parts of the coastline to represent the entire country in a series of drawings. However, they ended up not using it in the final version.
Project by Snøhetta Design studio
For the front side of the banknotes, the architectural and design studio Snøhetta proposed a series of black and white photographs that depict various aspects of the country's coastline.
For the reverse side, the designers proposed making cubic designs that make up the pattern. The design is partly based on the ideas and work of German physicist Peter Richter. In particular, there are similarities with the book "The Beauty of Fractals", which presents complex mathematical computer images. But this is not just a blurry drawing, but an image of a system that allows you to approximately determine the wind speed by its effect on objects (dust, tree branches) or waves on the open sea. Thus, the longer the lines in the drawings, the stronger the wind they symbolize.
Final result
As a result of the competition, the jury decided to combine both ideas: to use drawings from The Metric System studio for the front side, and avant-garde pixelated images on the back side, following the idea of Snøhetta Design studio.
Since there are no freely available images of ready-made banknotes, below we have combined layouts that were ultimately taken as the basis for the final design. So that you can consider all the nuances, we have provided a link to each banknote on the website of the Central Bank of Norway.
50 crowns - the sea that unites us
Utvera lighthouse in Sogn and Fjordan, the westernmost point in Norway In 1770 Utwer was a pilot station. The position of pilot has been passed down from father to son for generations in a long-standing coastal tradition. The lighthouse was built here in 1900. Not so long ago, the sea was the only way to travel around Norway: high mountains prevented Norwegians from crossing the country by land. Therefore, the sea has always been an important part of the country's transport system, and a network of lighthouses covers the entire Norwegian coast.
The background of the bill depicts a detail of an old nautical map and a seagull - a symbol that unites sea, air and land.
The reverse side depicts the same lighthouse, and the cubic design symbolizes calm.
100 crowns - the sea that takes us out into the world
Gokstad Viking ship from a 9th-century mound on the shores of the Norwegian Sandefjord Norwegians are proud of their mighty ancestors - the Vikings. They were the first traders and explorers, reigning over the sea since the 13th century (at the same time sails appeared on longships). They also contributed to the fact that Norway has become one of the leading maritime countries in the world. From the mid-1700s until the revolution of 17, there was a lively trade between Northern Norway and northern Russia, which, by the way, contributed to the emergence of the famous pidgin. The Gokstad ship depicted on banknotes was discovered in a mound in 1880, and is now on display in the Drakkar Museum. The background of the banknote schematically depicts the routes of oil and gas exports from Norway to Europe.
The slightly elongated lines on the back of the bill symbolize a light breeze. The globe and constellation Orion are also visible.
200 crowns - the sea that feeds us
Cod, and in the background - herring and fishing net For centuries, fishing has been a key source of food, income and an important part of Norwegian culture. Rich fish waters brought the first settlers to the shores of the future northern country about 11 thousand years ago. In the 18th and 19th centuries, as salt became cheaper and new markets emerged, herring and salted cod became the predominant products for export.
A fishing boat can be seen on the back of the bill. The fresh wind is depicted with longer lines than on the 100 kroner note. A fishing net is also visible.
500 crowns - the sea that gives us prosperity
Rescue ship RS 14 "Stavanger" This ship was designed by Norway's most famous shipbuilder, Colin Archer. The ship was launched in 1901 and for 37 years it served the Norwegian sea rescue society Redningselskap. The sea is the source of life for the Norwegians, but at the same time it is very dangerous for those who set out to collect its gifts. Timely help saved many lives. Today, more than 40 rescue ships are ready 24 hours a day and all year round to help ships along the entire coastline.
On the back of the note, an oil platform can be seen, as well as Norway's network of gas pipelines and a fossil - as a symbol of another important part of the country's economy over the past 50 years - oil.
1000 crowns - the sea that carries us forward
Wave image It is a symbol of the opposing force that sharpens the character of the Norwegians, and at the same time the driving force - which moves forward towards the future.
“For a millennium, the sea has been the basis of our wealth, our contact with the rest of the world and our faith in the future,” states the Norwegian Central Bank website. “The sea provides us with challenges, positive experiences and a horizon to which we can direct our gaze - towards something endless and unknown."
The reverse side shows the open sea, and the long stripes represent a strong storm. A noticeable pattern symbolizes the water molecule and the crystalline structure of ice.
About security
In the final design, the bank departed from the original design of the winning studios also because it wanted to increase the level of security of the new currency. Banknotes are high-tech objects that contain many complex security features and codes - both visible and hidden from view. At the international level, banknotes have a universal language - the so-called “banknote design language”. In such conditions, the requirements for the visual component severely limited creative ideas. And yet here they turned out to be a kind of engine of creativity, forcing designers to come up with something unique within the framework of many given parameters.
The Norwegian krone has retained its historical colors - this was done so as not to cause confusion. They were printed on cotton paper and covered with a stain-resistant coating. Intaglio printing was used during production, and the relief on the sides of the bills helps blind and visually impaired people distinguish denominations.
Film The making of Norway’s new banknotes
If you are interested in learning more about the history of the creation of new banknotes, we invite you to watch this 26-minute video “The making of Norway’s new banknotes”.
Final options on the official website of Norges Bank: pavilion from the Snøhetta studio for observing wild deer.
Other currencies of Norway: Norwegian krone (NOK)
The Norwegian krone is the modern national currency of Norway. One Norwegian krone consists of 100 øre. The Norwegian krone was introduced as a means of payment in Norway in 1875. Currently, in the kingdom, the Norwegian currency is used in cash circulation in the form of coins in denominations of 50 øre, 1,5,10 and 20 Norwegian kroner. As for paper banknotes, banknotes in denominations of 50, 100, 200, 500 and 1000 Norwegian kroner are in circulation. What is the Norwegian krone in paper banknote form? 50 Norwegian kroner is a green banknote decorated with a portrait of the poet and journalist Osmunn Vigne. The 100 Norwegian kroner note is burgundy in color and commemorates Camilla Collet, a 19th-century Norwegian writer. The 500 Norwegian kroner banknote is designed in blue tones and is dedicated to the memory of the famous composer Edvard Grieg. 1000 Norwegian kroner have a rich purple color, their front surface is decorated with a portrait of the poet S.M. Falsena. From year to year, the exchange rate of the Norwegian krone began to noticeably show its instability. Which is due to Norway's dependence on oil price fluctuations. While in the country, Norwegian currency can be exchanged in Norwegian banks, in hotels and at numerous exchange offices, open from 9:30 a.m. to 4:00 p.m., on Thursdays until 6:00 p.m. Norwegian banks are open from 9 a.m. to 2 p.m., on Saturday from 9 a.m. to 12:30 p.m. Credit cards VISA, MASTER CARD and others are accepted everywhere. It is more profitable to change currency in banks; the Norwegian krone exchange rate is more attractive here. The issue of money and control over banking activities in the country is carried out by the Norwegian Bank, founded in 1816 and nationalized in 1949. The Monetary Policy Committee of 15 people, elected by the Storting (parliament) for a period of six years, is responsible for the work of the bank. The chairman of this committee is also the governor of the National Bank.
Norwegian krone- the official currency of the Kingdom of Norway. Bank code - NOK. 1 crown is equal to 100 ore, but currently banknotes with denominations of less than 1 crown are withdrawn from circulation. Current banknote denominations: 1,000, 500, 100 and 50 kroner. Coins: 20 10, 5 and 1 crown.
On the front side of the 50 kroner banknote is an image of the Norwegian writer and collector of folklore of the early 20th century, Peter Kristen Asbjornsen, on the back - water lilies; for 100 kroons – the outstanding opera singer of the 20th century Kirsten Flagstad and the concert hall of the People's Theater in Oslo; for 200 crowns - the scientist Christian Olaf Birkeland, who contributed to the study of electromagnetic waves, and also for the first time explained the nature of such a phenomenon as the northern lights and the contour of the polar part of the country; for 500 crowns - the writer of the early 20th century Sigrid Unsed and a wreath of flowers from her trilogy “Christine, daughter of Lavrans”, for which she was awarded the Nobel Prize in Literature; for 1,000 CZK – symbolist artist Edvard Munch and a reproduction of his painting “The Sun”.
On the obverse of the 1 crown coin there is a symbol of royal power, a cross with crowns on four ends, on the reverse there is a national ornament, denomination and year of minting, in the middle there is a hole; on 5 crowns there is a monogram of King Charles V, the inscription “Kingdom of Norway” (the reverse is similar to 1 crown). On the obverse of the 10 and 20 crown coins is a portrait of the current king Charles V, and on the reverse is a fragment of the roof of a wooden architecture monument and the bow of a Viking ship, respectively.
It is generally accepted that the first coins in Norway were minted under King Olaf I at the end of the 10th century. Since the beginning of the 17th century, they were made from silver mined in the city of Konsberg in the south of the country. And the first banknotes were put into circulation in 1695. Moreover, the first paper money was issued not by the state or the king, but by the entrepreneur Thor Molenn, who received a contract for this. The enterprise failed - the population was not ready to use paper with several wax seals instead of precious metal.
At this time Norway was part of Denmark. And in 1736, a second attempt to issue banknotes into circulation was made by the Danish-Norwegian Bill of Exchange Bank, established under royal control. In 1791, the right to issue was transferred to the Danish-Norwegian Speciesbank, and in 1813 to the Riksbank.
Despite the fact that Norway became part of Sweden in 1814, in 1816 the local parliament approved the creation of the National Bank, and the speciedaler became the new monetary unit. Since 1855, the country finally switched to paper money.
Since 1874, there has been a transition to the gold standard, and since 1875, Norway has entered the Scandinavian Monetary Union. In accordance with the rules of this organization, national currencies began to be called crowns; their gold content had to correspond to the ratio of 2,480 crowns to 1 kg of pure precious metal.
The obligation to exchange banknotes for gold was fulfilled until the First World War. It was finally abandoned only in 1931.
In 1940, the country's gold reserves were exported to the UK, USA and Canada, and Norway was occupied by Nazi Germany. The Norwegian Bank ended up in exile in London, where it carried out two issues of kroner - in 1942 and 1944. At this time, in Norway itself, the krone exchange rate was pegged to the Reichsmark, and the volume of money in circulation increased at least five times.
At the end of World War II, the exchange rate was fixed against the pound (at a ratio of 20 to 1), and in 1949 – to the US dollar (7.142 to 1).
The transition to a floating exchange rate took place in 1992, when the Norwegian Bank announced that in the future quotes would be determined by the free market, supply and demand. In the early 1990s, the Norwegian krone came under severe pressure, primarily due to the economic crisis in neighboring Sweden, but it managed to withstand.
In the early 2000s, it strengthened due to high oil prices, the export of which is one of the country's main sources of income.
Quotations reached their maximum value in 2002, when the price of the crown exceeded $0.11. But the global financial crisis did not spare Norway; the kroner weakened to 0.05 per dollar. As of spring 2012, it costs about $0.17. Moreover, it can be bought for 5.00-5.10 Russian rubles.
The Norwegian krone is a freely convertible currency, transactions with which are possible on the Forex market. Its exchange rate reflects world energy prices, on the one hand, and domestic interest rates, which are quite high for Europe, on the other.
As for cash currency, its import and export in Norway is not limited. At the same time, almost everywhere you can pay with cards or withdraw the required amount from an ATM.