What is the SIT (Slovenian Tolar)
SIT is the currency abbreviation for the Slovenian tolar, which was the currency for Slovenia from October 1991 until December 2006. The abbreviation SIT was used in the Foreign Exchange market, which is the largest financial market in the world, with a daily average volume of over US $1 trillion.
Breaking Down SIT (Slovenian Tolar)
The Slovenian tolar was made up of 100 stotini. Different words were used to refer to varying amounts of the currency. For example 2 SIT were called 2 "tolarja"; 3 or 4 SIT were called 3 or 4 "tolarji"; "tolarjev" referred to 5 SIT or more.
After Slovenia declared independence in 1991, the tolar was introduced as the country’s currency. It replaced the Yugoslave dinar at par. In 1991, the Bank of Slovenia issued notes that were put into circulation as a temporary currency, with the first banknotes of the tolar going into circulation the following September.
When Slovenia joined the European Monetary Union in January of 2007, the tolar was replaced by the euro at a rate of 239.64:1. Denominations of the tolar came in coins and banknotes. Tolar notes, which are no longer in circulation, can still be exchanged for euros at the Bank of Slovenia.
The Tolar to the Euro
Slovenia joined the European Union in May 2004 and a few years later, in January 2007, the country adopted the euro (EUR) as its currency. It was required to fulfill a series of criteria known as the "convergence criteria" or "Maastricht criteria," which included requirements such as having a stable exchange rate and a low and stable interest rate. To help the country manage the transition from the tolar to the euro and prevent unreasonable price increases, prices of items in Slovenia were displayed in both currencies from March 2006 to June 2007.
The euro is currently the official currency for 19 of the 28 member nations of the European Union. Denominations of the euro include banknotes for 5, 10, 20, 50 and 100 euros, as well as coins for 1, 2, 5, 10, 20 and 50 cent coins. The adoption of a single currency by many of the member states saves from the impact of changing exchange rates and exchange costs, as well as simplifying trade between countries.
The European Central Bank (ECB) as well as individual member countries’ central banks oversee the euro. The ECB, which aims to maintain price stability, supervises monetary policy and sets interest rates in the region