Bulgarian lev
Encyclopedia
The lev is the currency
of Bulgaria
. It is divided in 100 stotinki . In archaic Bulgarian the word "lev" meant "lion".
It is speculated that Bulgaria, as a member of the European Union
will adopt the Euro
in 2015 .
. The gold standard was suspended between 1899 and 1906 before being suspended again in 1912. Until 1916, Bulgaria's silver and gold coins were issued to the same specifications as those of the Latin Monetary Union
. Banknotes issued until 1928 were backed by gold ("leva zlato" or "zlatni", "лева злато" or "златни") or silver ("leva srebro" or "srebarni", "лева сребро" or "сребърни").
In 1928, a new gold standard of 1 lev = 10.86956 mg gold was established.
During World war II, in 1940, the lev was pegged
to the German Reichsmark
at a rate of 32.75 leva = 1 Reichsmark. With the Soviet occupation in September 1944, the lev was pegged to the Soviet ruble
at 15 leva = 1 ruble. A series of pegs to the U.S. dollar followed: 120 leva = 1 dollar in October 1945, 286.50 leva in December 1945 and 143.25 leva in March 1947. No coins were issued after 1943; only banknotes were issued until the currency reform of 1952.
After the fall of communism, Bulgaria experienced several episodes of drastic inflation and currency devaluation. In order to change this, in 1997, the lev was pegged to the Deutsche Mark.
for the new Bulgarian lev is BGN. The currency was no longer backed by gold and silver, this was made evident by the banknotes loosing the text stating the lev was backed by gold or bank assets.
With the replacement of the Deutsche Mark by the euro
, the lev's peg effectively switched to the euro, at the rate of 1.95583 leva = 1 euro, which is the Deutsche Mark's fixed exchange rate to euro. Since 1997, Bulgaria has been in a system of currency board
and all Bulgarian currency in circulation has been backed 100% by the foreign exchange reserves of the Bulgarian National Bank
(BNB). The rate is unlikely to change before the lev's retirement. On 25 April 2005, when Bulgaria's EU accession treaty was signed, the BNB issued a commemorative coin with the face value of 1.95583 leva. The lev was expected to be replaced by the euro
on 1 January 2012, however some recent analysis says that Bulgaria will not be able to join earlier than 2015, due to their inflation problems and the impact of the global financial crisis of 2008. However, in February 2009, The Economist
suggested accelerating Bulgaria's path to the euro, or even letting it be adopted immediately.
Production of silver coins ceased in 1916, with zinc replacing cupro-nickel in the 5, 10 and 20 stotinki in 1917. In 1923, aluminum 1 and 2 leva coins were introduced, followed by cupro-nickel pieces in 1925. In 1930, cupro-nickel 5 and 10 leva and silver 20, 50 and 100 leva were introduced, with silver coins issued until 1937, in which year aluminium-bronze 50 stotinki were issued.
In 1940, cupro-nickel 20 and 50 leva were issued, followed, in 1941, by iron 1, 2, 5 and 10 leva. In 1943, nickel-clad-steel 5, 10 and 50 leva were struck. These were the last coins issued for this version of the lev.
In 1992, a new coinage was introduced in denominations of 10, 20 and 50 stotinki, 1, 2, 5 and 10 leva. All were struck in nickel-brass except for the cupro-nickel 10 leva. In 1997, nickel-brass 10, 20 and 50 leva were introduced.
introduced notes for 20 and 50 gold leva, followed in 1887 by 100 gold leva and, in 1890, by 5 and 10 gold leva notes. In 1899, 5, 10 and 50 silver leva notes were issued, followed by 100 and 500 silver leva in 1906 and 1907, respectively. 500 gold leva notes were also introduced in 1907.
In 1916, 1 and 2 silver leva and 1000 gold leva notes were introduced, followed by 2500 and 10,000 gold leva notes in 1919. In 1924, 5000 leva notes were issued, the first to lack a metal designation. In 1928, a new series of notes (dated 1922 and 1925) was introduced which gave the denominations solely in leva. Denominations introduced were 5, 10, 20, 50, 100, 500, 1000 and 5000 leva. These were followed in 1929 by 200 and 250 leva.
In 1930, coins up to 100 leva replaced notes, although 20-lev notes were issued between 1943 and 1950. Between 1943 and 1945, State Treasury Bills for 1000 and 5000 leva were issued.
Currency
In economics, currency refers to a generally accepted medium of exchange. These are usually the coins and banknotes of a particular government, which comprise the physical aspects of a nation's money supply...
of Bulgaria
Bulgaria
Bulgaria , officially the Republic of Bulgaria , is a parliamentary democracy within a unitary constitutional republic in Southeast Europe. The country borders Romania to the north, Serbia and Macedonia to the west, Greece and Turkey to the south, as well as the Black Sea to the east...
. It is divided in 100 stotinki . In archaic Bulgarian the word "lev" meant "lion".
It is speculated that Bulgaria, as a member of the European Union
European Union
The European Union is an economic and political union of 27 independent member states which are located primarily in Europe. The EU traces its origins from the European Coal and Steel Community and the European Economic Community , formed by six countries in 1958...
will adopt the Euro
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...
in 2015 .
First lev, 1881–1952
The lev was introduced as Bulgaria's currency in 1881 with a value equal to the French francFrench franc
The franc was a currency of France. Along with the Spanish peseta, it was also a de facto currency used in Andorra . Between 1360 and 1641, it was the name of coins worth 1 livre tournois and it remained in common parlance as a term for this amount of money...
. The gold standard was suspended between 1899 and 1906 before being suspended again in 1912. Until 1916, Bulgaria's silver and gold coins were issued to the same specifications as those of the Latin Monetary Union
Latin Monetary Union
The Latin Monetary Union was a 19th century attempt to unify several European currencies, at a time when most circulating coins were still made of gold and silver...
. Banknotes issued until 1928 were backed by gold ("leva zlato" or "zlatni", "лева злато" or "златни") or silver ("leva srebro" or "srebarni", "лева сребро" or "сребърни").
In 1928, a new gold standard of 1 lev = 10.86956 mg gold was established.
During World war II, in 1940, the lev was pegged
Fixed exchange rate
A fixed exchange rate, sometimes called a pegged exchange rate, is a type of exchange rate regime wherein a currency's value is matched to the value of another single currency or to a basket of other currencies, or to another measure of value, such as gold.A fixed exchange rate is usually used to...
to the German Reichsmark
German reichsmark
The Reichsmark was the currency in Germany from 1924 until June 20, 1948. The Reichsmark was subdivided into 100 Reichspfennig.-History:...
at a rate of 32.75 leva = 1 Reichsmark. With the Soviet occupation in September 1944, the lev was pegged to the Soviet ruble
Soviet ruble
The Soviet ruble or rouble was the currency of the Soviet Union. One ruble is divided into 100 kopeks, ....
at 15 leva = 1 ruble. A series of pegs to the U.S. dollar followed: 120 leva = 1 dollar in October 1945, 286.50 leva in December 1945 and 143.25 leva in March 1947. No coins were issued after 1943; only banknotes were issued until the currency reform of 1952.
Second lev, 1952–1962
In 1952, following wartime inflation, a new lev replaced the original lev at a rate of 1 "new" lev = 100 "old" leva. However the rate for banking accounts was different, ranging from 100:3 to 200:1. Prices for goods were replaced at a rate of 25:1. The new lev was pegged to the U. S. dollar at a rate of 6.8 leva = 1 dollar, falling to 9.52 leva on July 29, 1957.Third lev, 1962–1999
In 1962, another redenomination took place at the rate of 10 to 1, setting the exchange rate at 1.17 leva = 1 U. S. dollar, with the tourist rate falling to 2 leva on February 1, 1964. The ISO 4217 code was BGL. After this, the lev remained fairly stable for almost three decades. However, like other Communist countries' currencies, it was not freely convertible for Western funds. Consequently, black market rates were five to ten times higher than the official rate . During the period, until 1989 the lev was backed by gold, and the banknotes have the text stating: "The bank note is backed by gold and all assets of the bank" ("Банкнотата е обезпечена със злато и всички активи на банката").After the fall of communism, Bulgaria experienced several episodes of drastic inflation and currency devaluation. In order to change this, in 1997, the lev was pegged to the Deutsche Mark.
Fourth lev, 1999–today
On 5 July 1999 the lev was redenominated at 1000:1 with 1 new lev equal to 1 Deutsche Mark. The ISO 4217 currency codeISO 4217
ISO 4217 is a standard published by the International Standards Organization, which delineates currency designators, country codes , and references to minor units in three tables:* Table A.1 – Current currency & funds code list...
for the new Bulgarian lev is BGN. The currency was no longer backed by gold and silver, this was made evident by the banknotes loosing the text stating the lev was backed by gold or bank assets.
With the replacement of the Deutsche Mark by the euro
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...
, the lev's peg effectively switched to the euro, at the rate of 1.95583 leva = 1 euro, which is the Deutsche Mark's fixed exchange rate to euro. Since 1997, Bulgaria has been in a system of currency board
Currency board
A currency board is a monetary authority which is required to maintain a fixed exchange rate with a foreign currency. This policy objective requires the conventional objectives of a central bank to be subordinated to the exchange rate target....
and all Bulgarian currency in circulation has been backed 100% by the foreign exchange reserves of the Bulgarian National Bank
Bulgarian National Bank
The Bulgarian National Bank is the central bank of the Republic of Bulgaria with its headquarters in Sofia. The BNB has been established on 25 January 1879. It is an independent institution responsible for issuing all banknotes and coins in the country, overseeing and regulating the banking sector...
(BNB). The rate is unlikely to change before the lev's retirement. On 25 April 2005, when Bulgaria's EU accession treaty was signed, the BNB issued a commemorative coin with the face value of 1.95583 leva. The lev was expected to be replaced by the euro
Euro
The euro is the official currency of the eurozone: 17 of the 27 member states of the European Union. It is also the currency used by the Institutions of the European Union. The eurozone consists of Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Luxembourg,...
on 1 January 2012, however some recent analysis says that Bulgaria will not be able to join earlier than 2015, due to their inflation problems and the impact of the global financial crisis of 2008. However, in February 2009, The Economist
The Economist
The Economist is an English-language weekly news and international affairs publication owned by The Economist Newspaper Ltd. and edited in offices in the City of Westminster, London, England. Continuous publication began under founder James Wilson in September 1843...
suggested accelerating Bulgaria's path to the euro, or even letting it be adopted immediately.
First lev
Between 1881 and 1884, bronze 2, 5 and 20 stotinki, and silver 50 stotinki, 1, 2 and 5 leva were introduced, followed, in 1888, by cupro-nickel 2½, 5, 10 and 20 stotinki. Gold 10 and 20 leva were issued in 1894. Bronze 1 stotinka were introduced in 1901.Production of silver coins ceased in 1916, with zinc replacing cupro-nickel in the 5, 10 and 20 stotinki in 1917. In 1923, aluminum 1 and 2 leva coins were introduced, followed by cupro-nickel pieces in 1925. In 1930, cupro-nickel 5 and 10 leva and silver 20, 50 and 100 leva were introduced, with silver coins issued until 1937, in which year aluminium-bronze 50 stotinki were issued.
In 1940, cupro-nickel 20 and 50 leva were issued, followed, in 1941, by iron 1, 2, 5 and 10 leva. In 1943, nickel-clad-steel 5, 10 and 50 leva were struck. These were the last coins issued for this version of the lev.
Second lev
In 1952, coins (dated 1951) were introduced in denominations of 1, 3, 5, 10 and 25 stotinki, with the lower three denominations in brass and the higher three in cupro-nickel. Cupro-nickel 20 stotinki dated 1952 were also issued, followed by 50 stotinki in 1959 and 1 lev in 1960 (both also in cupro-nickel).Third lev
In 1962, brass 1, 2 and 5 stotinki, and nickel-brass 10, 20 and 50 stotinki and 1 lev were introduced.| Communist era coins | |||||||
|---|---|---|---|---|---|---|---|
| Image | Denomination | Diameter | Weight | Composition | Obverse | Reverse | Minted Year |
| 1 stotinka | 15.2 mm | 1 g | Brass | Coat of Arms | Denomination and date | 1962-90 | |
| 2 stotinki | 18.1 mm | 2 g | |||||
| 5 stotinki | 22.35 mm | 3.1 g | |||||
| 10 stotinki | 17.1 mm | 1.8 g | Nickel-brass | ||||
| 20 stotinki | 21.2 mm | 2.9 g | |||||
| 50 stotinki | 23.3 mm | 4.2 g | |||||
| 1 lev | 24 mm | 4.8 g |
In 1992, a new coinage was introduced in denominations of 10, 20 and 50 stotinki, 1, 2, 5 and 10 leva. All were struck in nickel-brass except for the cupro-nickel 10 leva. In 1997, nickel-brass 10, 20 and 50 leva were introduced.
Fourth lev
In 1999, coins in denominations of 1, 2, 5, 10, 20 and 50 stotinki were introduced. A 1 lev coin in 2002 replaced the 1 lev banknote introduced in 1999. The 1, 2 and 5 stotinki are struck in brass-plated steel, and the 10, 20 and 50 stotinki in cupro-nickel; each depicts the Madara horseman on its obverse. The 1 lev coin is bimetallic and depicts St. Ivan Rilski on its obverse.First lev
In 1885, the Bulgarian National BankBulgarian National Bank
The Bulgarian National Bank is the central bank of the Republic of Bulgaria with its headquarters in Sofia. The BNB has been established on 25 January 1879. It is an independent institution responsible for issuing all banknotes and coins in the country, overseeing and regulating the banking sector...
introduced notes for 20 and 50 gold leva, followed in 1887 by 100 gold leva and, in 1890, by 5 and 10 gold leva notes. In 1899, 5, 10 and 50 silver leva notes were issued, followed by 100 and 500 silver leva in 1906 and 1907, respectively. 500 gold leva notes were also introduced in 1907.
In 1916, 1 and 2 silver leva and 1000 gold leva notes were introduced, followed by 2500 and 10,000 gold leva notes in 1919. In 1924, 5000 leva notes were issued, the first to lack a metal designation. In 1928, a new series of notes (dated 1922 and 1925) was introduced which gave the denominations solely in leva. Denominations introduced were 5, 10, 20, 50, 100, 500, 1000 and 5000 leva. These were followed in 1929 by 200 and 250 leva.
In 1930, coins up to 100 leva replaced notes, although 20-lev notes were issued between 1943 and 1950. Between 1943 and 1945, State Treasury Bills for 1000 and 5000 leva were issued.
Second lev
In 1952, state notes (dated 1951)http://banknotesinfo.com/BULGARIA/1951/WIKI-1951-leva.html were issued in 1, 3 and 5 leva, together with notes of the National Bank for 10, 20, 50, 100 and 200 leva. 500-lev notes were printed but not issued.Third lev
In 1962, the National Bank issued notes for 1, 2, 5, 10 and 20 leva. A second series, in the same denominations, was issued in 1974. 50 leva notes were introduced in 1990. After the fall of the communist regime, new notes were introduced for 20, 50, 100 and 200 leva. These were followed by 500 leva notes in 1993, 1000 and 2000 leva in 1994, 5000 and 10,000 leva in 1996, and 50,000 leva in 1997.Fourth lev
In 1999, banknotes were introduced in denominations of 1, 2, 5, 10, 20 and 50 leva. 100 leva notes were added in 2003. The 1 lev note has been replaced in everyday use by the 1 lev coin.| 1999 series http://www.bnb.bg/bnb/notes_coins.nsf/fShowNC?OpenForm&cat=C&EN | ||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Image | Value (BGN) | Value (€) | Dimensions | Main Colour | Description | Date of printing | 1 lev | 0.51 € | 112 × 60 mm | Red | Ivan Rilski | Rila Monastery Rila Monastery The Monastery of Saint Ivan of Rila, better known as the Rila Monastery is the largest and most famous Eastern Orthodox monastery in Bulgaria. It is situated in the southwestern Rila Mountains, south of the capital Sofia in the deep valley of the Rilska River at an elevation of above sea level... |
Rampant lion | 1999 | Rarely seen in circulation, replaced by coin | |||||
| 2 leva | 1.02 € | 116 × 64 mm | Violet | Paisiy Hilendarski | Istoriya Slavyanobolgarskaya Istoriya Slavyanobolgarskaya Istoriya Slavyanobolgarskaya is a book by Bulgarian scholar and clergyman Saint Paisius of Hilendar... |
1999, 2005 | ||||||||||||||
| 5 leva | 2.55 € | 121 × 67 mm | Red | Ivan Milev Ivan Milev Ivan Milev Lalev was a Bulgarian painter and scenographer regarded as the founder of the Bulgarian Secession and a representative of Bulgarian modernism, combining symbolism, Art Nouveau and expressionism in his work.... |
Paintings by Ivan Milev | Ivan Milev | 1999, 2009 | |||||||||||||
| 10 leva | 5.11 € | 126 × 70 mm | Green | Petar Beron Petar Beron Dr. Petar Beron was a famous Bulgarian educator. He created the first modern Bulgarian primer, erroneously called the Fish Primer because of the dolphin drawn in the end of the book .-Biography:Petar Beron was born around 1800, probably in 1799, in the town of Kotel in a rich family... |
Astronomical instruments | Petar Beron | 1999, 2008 | This design was also used for the 10,000 BGL (third leva) banknote | ||||||||||||
| 20 leva | 10.22 € | 131 × 73 mm | Blue | Stefan Stambolov Stefan Stambolov Stefan Nikolov Stambolov was a Bulgarian politician, who served as Prime Minister and regent. He is considered one of the most important and popular "Founders of Modern Bulgaria", and is sometimes referred to as "the Bulgarian Bismarck".- Early years :Stambolov was born in Veliko Tarnovo... |
Orlov most Orlov most Eagles' Bridge is a bridge over the Perlovska River in the centre of Sofia, the capital of Bulgaria. It gives the name to the important and busy juncture at which it is located... , Lavov most Lavov most Lions' Bridge is a bridge over the Vladaya River in the centre of Sofia, the capital of Bulgaria, built 1889-1891 by Czech architect Václav Prošek, his brother Jozef and his cousins Bohdan and Jiří... |
Stefan Stambolov | 1999, 2007 | The most common banknote produced by ATMs Automated teller machine An automated teller machine or automatic teller machine, also known as a Cashpoint , cash machine or sometimes a hole in the wall in British English, is a computerised telecommunications device that provides the clients of a financial institution with access to financial transactions in a public... |
||||||||||||
| 50 leva | 25.55 € | 136 × 76 mm | Brown | Pencho Slaveykov Pencho Slaveykov Pencho Petkov Slaveykov was a noted Bulgarian poet and one of the participants in the Misal circle. He was the youngest son of the writer Petko Slaveykov.... |
Poems by Pencho Slaveykov | Pencho Slaveykov | 1999, 2006 | |||||||||||||
| 100 leva | 51.11 € | 141 × 79 mm | Green | Aleko Konstantinov Aleko Konstantinov Aleko Konstantinov was a Bulgarian writer, best known for his character Bay Ganyo, one of the most popular characters in Bulgarian fiction.... |
Aleko Konstantinov | Aleko Konstantinov | 2003 | |||||||||||||
See also
- Bulgaria and the euro
- Commemorative coins of BulgariaCommemorative coins of BulgariaCommemorative coins have been issued in Bulgaria since 1965 by the Bulgarian National Bank, headquartered in Sofia, and minted by the Bulgarian Mint ....
- Economy of BulgariaEconomy of BulgariaThe economy of Bulgaria functions on the principles of the free market, having a large private sector and a small, but strong public sector. Bulgaria is an industrialised upper-middle-income country according to the World Bank with a gross national income per capita of US$ 5,490 in 2008...
- Medieval Bulgarian coinage