Understanding Mexican Money Value and Exchange

Mexico uses the Mexican peso as its official currency, which is subdivided into 100 centavos. The peso is available in various denominations, including banknotes and coins.

The Mexican peso is a relatively stable currency, with a floating exchange rate system. This means that the value of the peso can fluctuate against other currencies, including the US dollar.

The exchange rate between the Mexican peso and the US dollar can vary depending on the current market conditions. In 2022, the exchange rate was approximately 20 pesos to 1 US dollar.

To give you a better idea of the Mexican money value, let's take a look at some common denominations of Mexican banknotes.

The Mexican War of Independence lasted from 1810 to 1821, resulting in the creation of numerous mints that produced coins for both supporters and opponents of the Spanish monarch.

The first Mexican mint to produce pesos was established in 1535, and by 1824, the United Mexican States had started issuing coins, including gold, silver, and copper coins.

The Empire of Agustin de Iturbide was solely responsible for minting and issuing coins from 1821 to 1824, featuring the Emperor's portrait and date on the obverse.

The silver peso contained 27.07 grams of 90.3% fine silver until 1863, when the Second Mexican Empire under Emperor Maximillan commenced the minting of pesos divided into 100 centavos.

The peso was solely defined as 0.75 g fine gold in 1905, and by 1918, the weight and fineness of all silver coins had declined.

The U.S. dollar was worth 2.00 silver pesos from 1905 to 1929, rising afterward until it stabilized at 12.50 pesos from 1954 to 1976.

The Mexican currency has a rich and fascinating history that spans over 400 years. The first Mexican mint to produce pesos was established in 1535, marking the beginning of Mexico's journey with its own currency.

The early Mexican coins were minted from silver and gold, with the silver peso containing 27.07 grams of 90.3% fine silver and the gold peso or half escudo containing 1.6915 grams of 87.5% fine gold. By the 19th century, the silver real weighed 3.383 g, fineness 65⁄72 = 90.3%, while the gold escudo's fineness was reduced to 21 karats or 21⁄24, or 87.5% fine.

The peso was divided into 8 reales, with 15 or 16 silver reales being worth a gold escudo. These pesos served as a global silver standard reserve currency until the start of the 20th century.

Here's a brief timeline of the major changes in the Mexican currency:

In 1824, the United Mexican States started issuing coins, featuring the eagle with the phrase Republica Mexican on the obverse and the engraver's initials and the date on the reverse. This marked a significant shift in the country's currency system.

The Mexican War of Independence lasted from 1810 to 1821, during which numerous mints created coins for the opponents and supporters of the Spanish monarch. The Empire of Agustin de Iturbide came to power and was solely responsible for minting and issuing coins, featuring the Emperor's portrait, date, and the wording August(inus) Dei Prov(identia) on the obverse.

The first Mexican coin to feature the coat of arms of Mexico was minted in the 19th century, with the image appearing on the reverse of the coin. This design change marked a significant milestone in the country's currency history.

The Revolutionary Period Silver 1914 coin was a rare find in the numismatic world. It was believed not to exist until it came up for auction.

This silver peso was struck during the reign of Pancho de Villa, a significant figure in Mexican history. The coin features a Liberty cap on the obverse side.

The reverse side of the coin is just as interesting, with a law book and scales symbolizing justice. This design element is a nod to the importance of fairness and equality.

The coin was graded MS62, indicating its superior luster and clean design. This grading is a testament to the coin's excellent condition.

As a unique aspect, this peso was struck on a silver planchet, unlike the standard Mexican currency of the time which was struck on gold plates. This makes it a truly one-of-a-kind find.

In 2008, this coin sold for an impressive $35,650 at auction. This price tag is a reflection of the coin's rarity and historical significance.

Currency devaluations have had a significant impact on the value of Mexican money. The peso was devalued from 12.50 to 19.40 pesos in 1976.

In 1982, Mexico defaulted on its external debt, causing a severe devaluation of the peso from 23 to 150 pesos. This led to high unemployment and economic hardships.

The value of the peso continued to fluctuate, with a stabilization at above 3,000 MXP/USD in the early 1990s under the "Stability and Economic Growth Pact" (PECE).

In 1976, the U.S. dollar leapt from 12.50 to 19.40 pesos. This sudden devaluation caused significant economic strain for companies with loans in USD and contracts in MXP.

The dollar's rapid appreciation made it difficult for businesses to manage their finances, leading to high unemployment and increased workloads for remaining employees.

This devaluation was a major contributor to the economic challenges Mexico faced in the late 1970s, setting the stage for the country's default on its external debt in 1982.

In 1993, Mexico re-based its currency to remove three zeros from all denominations and launched the New Peso.

A new series of bank notes was introduced, looking exactly like the old ones, except with three zeros missing from the numerals.

The new bank notes also included the words "Nuevos Pesos" for clarity.

One new peso, or N$1.00, was equal to 1,000 of the obsolete MXP pesos.

The Bank of Mexico has been gradually replacing the current generation of bills since 2018 with new designs that pay homage to Mexico's historical identity and natural heritage.

The first new bill was the 500 peso note featuring Benito Juárez and the gray whale, released in August 2018. This bill was chosen because it's the most widely counterfeited.

New bills are being introduced with updated security features, including fluorescent ink, a dynamic thread, embossing, a watermark, and a new multicolor denomination.

The old 500 peso bill featuring Diego Rivera and Frida Kahlo will be phased out as the new version becomes more widely available.

In 2019, a new 200 peso bill will be issued featuring Miguel Hidalgo and José María Morelos, and a new 1,000 peso bill is scheduled for release in 2020.

Here's a list of the new bill denominations being introduced:

The Bank of Mexico has introduced several new series of bank notes over the years, each with its own unique features and designs.

One of the most notable changes was the introduction of the "nuevo peso" bank notes in 1993, which were designed to replace the old peso. These notes were nearly identical to the old ones, but with three zeros missing from the numerals.

In 1994, a new series of bank notes was released, which dropped the word "Nuevos" from the design. This change was made as Mexico's currency stabilized and people became more familiar with the new currency.

The Bank of Mexico has also introduced new security features in recent years, including fluorescent ink, dynamic threads, and watermarks. These features are designed to make it more difficult for counterfeiters to replicate the notes.

The most commonly circulated banknotes in Mexico are MXN$20 and above in Series F and G. The Series F and G banknotes are in the process of being withdrawn from circulation.

Here are some of the most commonly circulated banknotes in Mexico:

The Bank of Mexico has also introduced a new series of bank notes, starting with the MXN$500 bill in 2018. This new bill features Benito Juárez on one side and the gray whale and coastal ecosystems on the other. The new bill is made of plastic and has several security features, including fluorescent ink and a dynamic thread.

In 2019, the Bank of Mexico will issue a new MXN$200 bill featuring Miguel Hidalgo and José María Morelos on one side and the El Pinacate desert landscapes on the other. A new MXN$1,000 bill is also scheduled to be released in 2020.

The Series AA coins were introduced around 1970. They feature a state title and coat of arms on the obverse side. The MXP 1¢ coin has a diameter of 13.0 mm and a weight of 1.50 g, made from brass.

The MXP 5¢ coin is also made from brass, with a diameter of 18.0 mm and a weight of 2.75 g. It features an image of Josefa Ortiz de Domínguez, La Corregidora, on the reverse side.

Here's a list of the Series AA coins, with their respective values and compositions:

The MXP $50 coin has a diameter of 35.0 mm and a weight of 19.8 g. It features an image of the Coyolxauhqui Stone on the reverse side.

In August 2018, a new series of notes started circulating, known as Series G.

The obverse of the notes portrays important historical eras and individuals, while the reverse features various ecosystems of Mexico through one of the country's World Heritage sites.

The 20, 50, and 100-peso notes are produced in polymer, while the other banknotes are printed on paper.

The upper left and right edges of the 200, 500, and 1000-peso notes have tactile parallel horizontal lines for identification by touch, with 200-peso notes having two lines, 500 and 1000-peso notes having three and four respectively.

The value of the 20, 50, and 100-peso notes are embossed in the clear windows of the corresponding notes, along with a distinctive pattern.

The incremental length increase between denominations from Series F, starting with the MXN $50 note, remains the same in Series G, with the exception of the commemorative MXN $20 Series G note and the planned $2,000 note.

Here is a summary of the Series G banknotes:

The Royal 1650 coin is a real treasure for collectors. It's a Mexican 8-reales coin from 1650 that's extremely rare, with only one known example existing today.

This coin is not the brightest or most lustrous, but it's still a valuable find with most of its details visible despite wear and tear. The coin's high points show a lot of wear.

The Royal 1650 coin is the finest struck of its year and is highly sought after by collectors. It's a unique piece of history that's worth a pretty penny.

The 1915 Guerrero Two is a rare and highly sought-after coin among collectors. It's a Revolution coin that was struck in 1915 at the peak of Mexico's struggle for independence.

The obverse features an eagle perched on a cactus plant clutching a snake in its beak. This design is a classic representation of Mexico's national symbol.

On the reverse, you'll find the image of a brilliant sun with a volcano in the background. This striking design is a testament to the artistic skill of the coin's creator.

This specimen was graded AU55, with slight but visible wear at the high points. This grade indicates that the coin is in good condition, despite some wear and tear.

The 1915 Guerrero Two is extremely rare and highly valuable, selling for $48,300 in 2008. This price is a testament to the coin's rarity and desirability among collectors.