Danish crown

The Danish crown ( danske kroner in Danish) (DKK, krone ) is the official currency of the Kingdom of the Denmark since 1873. The Danish crown is subdivided in 100 øre .

Foreign exchange rate

1 EURO ≈ 7,46038 DKK

1 USD ≈ 5,8775 DKK

100 JPY ≈ 5,0979 DKK

1 GBP ≈ 10,8159 DKK

History of the Danish crown

By the monetary law of 1873, Denmark obtains a new monetary unit, the crown with a value of 0.403 grams fine gold. The crown is put in circulation on January 1st, 1875 to replace the Rigsdaler (ata rate of 2 crowns = 1 rigsdaler). Denmark was member of the Scandinavian Monetary Union (Skandinaviske møntunion) until the beginning of the First World War.

On the beginning of the First World War, the convertibility of the gold currency was suspended, it followed from there a strong raising of prices in the country. The law on the currency of 1924 adopted a progressive return with the gold standard. The parity was restored in December 1926. The inflation which followed seriously affected the trade and the banking environment.

The Grande depression of 1929 involved the abandonment of the convertibility of the gold currency (law of September 22nd, 1931)

A first devaluation of the Danish crown take place in 1935 (Kanslergade agreement). The crown lost 24% thus. After the devaluation the pound sterling was exchanged with 22.50 crowns. April 7th, 1936, the royal act concerning the Danish national Banque replaced the charter of 1818. This act is still of application today. During the Second world war, the crown was revalued of 8% in 1942. Since 1944, Denmark joined the Accords of Bretton Woods

To put an end to the big number of currency which circulated in the country at the end of the war and to avoid inflation, it was to decide to withdraw all the tickets in circulation and to distribute monetary coupons. What was made on July 23rd, 1945. In spite of that, in 1949, the crown was devaluated of 30%.

In 1949, the autonomy of the Faroe Islands is declared, and this territory can beat its own currency, the Couronne féringienne (act of April 12th, 1949).

Since 1958, with the increase in world commerce, the Danish crown becomes convertible with respect to the dollar. The convertibility of the gold dollar was abandoned on August 15th, 1971 unilaterally by the United States. It is the end of the system of Bretton Woods.

The EU and the euro

In 1972, the Danish crown joins the Currency snake European and joined the EC on January 1st, 1973.

From 1979 until the introduction of the Euro on January 1st, 1999, Denmark takes part in Exchange Rate Mechanism, ERM, inside the European Monetary System (EMS)

The Danish crown is stable compared to the Euro (1 € = 7,46038 Kr) because dependant via a mechanism of European exchange said MCE II. I.e. the foreign exchange rate of the Danish crown cannot fluctuate of more than 2,25% compared to the euro. Denmark does not take part in the Euro because the people rejected the possibility of his adoption at the time of a referendum in September 2000.

With the United Kingdom, it is the only State of the European Union to have signed with the other Member States a clause of opting-out as regards single currency, which will allow him, if necessary, to remain indefinitely apart from the euro area. recently Danish leans for the European currency with more than 52% of the population for, that and a strong signal in this country very to attach has these national symbols.

Coins in Danish crowns

The first series (1947) of Frederic {{IX}} (1947-1972)

the parts of 1 øre, 2 øre and 5 zinc øre
the parts of 10 cupronickel øre and 25 øre
the parts of 1 crown and 2 crowns alumium-bronzes

of it

The second series (1960) of Frederic {{IX}} (1947-1972)

the part of 5 bronze øre
the part of 10 cupronickel øre
the part of 25 cupronickel øre
the part of 1 crown in cupro-nicke
the part of 5 cupronickel crowns

The series of 1973 of Marguerite {{II}} (1972-)

the part of 5 steel øre coppered
the part of 10 steel øre nickel
the part of 25 steel øre nickel
the part of 1 steel-nickel crown
the part of 5 steel-nickel crowns

In May 1972, the parts of 1 øre and 2 øre are withdrawn from circulation and cease having legal tender on April 1st, 1973.

In 1989, the parts of 5 øre and 10 øre were withdrawn from circulation while a part of 20 crowns was struck

The series of 1990 of Marguerite {{II}} (1972-)

the part (1991-) of 25 øre out of bronze
the part (1989-) of 50 øre out of bronze
the part (1993-) of 1 crown out of cupronickel
the part (1993-) of 2 crowns out of cupronickel
the part (1990-) of 5 crowns out of cupronickel
the part (1989-) of 10 crowns out of aluminum bronzes
the part (1989-) of 20 crowns in aluminum-bronzes

Banknotes in Danish crowns

See too

European Currency snake
European Monetary System (EMS):

European Currency Unit European Currency Links (ECU)

economic Union and monetarist European:

Mechanism of European exchange (MCE)
European System of central banks (SEBC)

External bonds

http://www.nationalbanken.dk/: official site of the national Bank of Denmark ( Danmarks Nationalbank ).

Zh-yue: 丹麥克朗

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