What Is the Fijian Dollar (FJD)?
The Fijian Dollar (FJD) is the national currency of the Republic of Fiji, an archipelago nation with over 300 islands. The FJD was first introduced in 1867, but its most recent iteration has been in place since 1969.
The currency sign for the Fijian dollar is $ or FJ$, which differentiates it from the U.S. dollar (USD). It is divided into 100 cents.
- The Fijian Dollar (FJD) is the national currency of Fiji.
- Its modern version has been in circulation since 1969, one year before Fiji’s independence from Britain.
- Today, Fiji’s economy is heavily reliant on tourism, as well as specialty exports such as bottled water.
Understanding the FJD
The modern version of the FJD was introduced in 1969, replacing the Fijian pound at a rate of 2 FJD per Fijian pound. Since then, however, the value of the FJD has been allowed to fluctuate freely on international foreign exchange markets. Between October 2015 and October 2020, the value of the FJD relative to the USD has held relatively stable at approximately $0.47 USD per FJD.
The Fijian dollar comes in $5, $10, $20, $50 and $100 bills of polymer-coated paper, and 5 cent, 10 cent, 20 cent, 50 cent, $1 and $2 coins that are either nickel-clad steel or nickel-clad brass. Prior to 2013, Fijian currency featured images of Queen Elizabeth II, but the current bills and coins feature images of Fijian plants and animals. These new bills and coins are called the "Flora and Fauna" series, which feature a change in color profile for some of the bills.
The removal of Queen Elizabeth II’s portrait from Fijian currency reflects the fact that Fiji obtained independence from Britain in 1970. The most recent FJD banknotes contain scenes and symbols meaningful to Fijian culture. Examples include the Fijian coat of arms, which is featured on all the modern banknotes; a map of Fiji, featured on the $100 bill; and the image of a Mariratu flower, which is indigenous to Fiji and featured on the $5 bill.
Real World Example of the FJD
The value of the FJD is ultimately supported by the strength of its economy. Fiji is a major tourist destination which hosts close to 1 million tourists each year. As such, the tourism sector is a significant contributor to Fijian gross domestic product (GDP) and employment.
The unemployment rate in Fiji has held steady between 4% and 4.5% in recent years, with inflation averaging around 3%. Outside of Tourism, Fiji exports various specialty products, such as bottled water, refined petroleum products, and gold. Its main export partners are the United States and Australia, who collectively purchase about one-third of all Fiji’s products and services.