ANG - Netherlands Antillean Guilder

Introduction to the Netherlands Antillean Guilder

Netherlands Antillean Guilder is the currency of Curaçao and Sint Maarten, issued and regulated by the Central Bank of Curaçao and Sint Maarten. In Dutch, it is called “Nederlandse Antilliaanse gulden.” Netherlands Antillean Guilder’s currency symbol is ƒ or Fl.

The Netherlands Antillean Guilder is a high-value currency and plays an important role in pricing and payments on the international market. It is used in many commercial transactions and can also be accumulated as a reserve currency.

Initially, Netherlands Antillean Guilder was issued and managed by the Central Bank of the Netherlands Antilles until the dissolution of the Netherlands Antilles in 2010. After the dissolution, the Central Bank of Curaçao and Sint Maarten (Centrale Bank van Curaçao en Sint Maarten, CBCS) took over, in charge of monetary policy and the issuance and management of foreign exchange reserves.

History of the Netherlands Antillean Guilder

The Netherlands Antillean Guilder was in use from 1928 until 2010. The currency’s history is closely tied to the existence of the Netherlands Antilles, a federal country within the Kingdom of the Netherlands in the Caribbean. Netherlands Antillean Guilder is also a clear testament to the region's economic and political changes over the centuries. 

• In the 18th century, the Dutch guilder circulated in the Netherlands Antilles. In 1974, a supplementary coin issuance was dedicated specifically to the Dutch territories in the West Indies. At that time, 1 guilder equaled 20 stuivers.  

• From 1799 to 1828, the reaal circulated on the islands, with 1 reaal equaling 6 stuivers. The Dutch guilder was reintroduced in 1828 and was subdivided into 100 cents. Initially, this currency was specifically used in the Netherlands Antilles and was issued under the name of Curaçao.  

• The first banknotes and coins were respectively introduced in 1892 and 1900.

• The name of Netherlands Antilles (Nederlandse Antillen) was officially declared in 1952.  

• In 1940, after the Netherlands was occupied by Germany, the value of the guilder was pegged to the US dollar, fixed at 1.88585 guilders = 1 dollar. In 1971, the fixed exchange rate was adjusted to 1.79 guilders = 1 dollar.  

• In 1986, Aruba separated from the Netherlands Antilles and issued the Aruban florin, replacing the Netherlands Antillean guilder.  

• In 2011, after the dissolution of the Antilles, Bonaire, Saba, and Sint Eustatius switched to using the US dollar.

• Curaçao and Sint Maarten planned to replace their currency with a new one called the Caribbean guilder. By 2018, Sint Maarten's Finance Minister noted that only two years' worth of Antillean Guilder banknotes remained, necessitating a decision on currency adoption.

• As of the end of 2020, they were still using the Netherlands Antillean guilder. The Caribbean guilder is set for an official launch on March 31, 2025, and will become the exclusive legal tender in the countries following June 30, 2025.

Netherlands Antillean Guilder denominations

Currently, the Netherlands Antillean Guilder is issued in the following denominations:

• Coins: 1, 5, 10, 25, 50 cents, ƒ 1, ƒ 2.5, ƒ 5. The designs for coins in Curaçao and Sint Maarten have minor differences, but they circulate interchangeably.

• Banknotes: ƒ 10, ƒ 25, ƒ 50, ƒ 100. The observe of the banknotes showcases marine life, while the reserve displays landmarks from the two island nations.

The exchange rate regime of the ANG - Fixed Float

The Central Bank of Curaçao and Sint Maarten employs a floating exchange rate policy to regulate the ANG’s exchange rate. This policy is based on the monetary foundations of countries, engaging in trade, loans, debt repayment, and investment with the Netherlands Antillean Guilder. The aim of this policy is to maintain a stable exchange rate, ensure inflation control, promote economic growth, reform the balance of payments, and increase foreign exchange reserves.

History of the Exchange Rate of the ANG

Throughout its history, the exchange rate of the ANG to the USD has remained relatively stable, reflecting efforts to maintain economic stability in the Caribbean. Before World War II, the Netherlands Antillean Guilder was closely tied to the Dutch guilder (NLG). 

The exchange rate between the Netherlands guilder and the US dollar fluctuated based on global economic conditions, especially following the Great Depression in 1929. During this time, the exchange rate between the ANG and USD was somewhat unclear, as the international trade of the Netherlands Antilles primarily relied on the NLG.

During World War II and the post-war period, the Netherlands Antilles was separated from the Dutch monetary system, leading to the issuance of its own currency. From around 1940, the ANG to USD exchange rate was fixed at approximately 1.79, with insignificant fluctuations. 

After the dissolution of the Netherlands Antilles, the ANG to USD exchange rate continued to remain at the previously established level. This demonstrates the prudent financial policy of the Netherlands Antilles, protecting the economy from major market fluctuations and maintaining the Netherlands Antillean guilder’s value.