Currency in Colombia denotes the ingots, coins, and banknotes that have been used in Colombia since 1622. It was in that year, under a licence purchased from King Philip III of Spain, that Alonso Turrillo de Yebra established a mint at Santa Fe de Bogotá and a branch mint at Cartagena de las Indias, where gold cobs were produced as part of Colombia's first currency. Silver milled coins date from 1627. In 1831, Gran Colombia dissolved into Venezuela and New Granada. In 1836, in New Granada, new monetary laws were passed, to standardise the money produced in the country. From 1861 to 1862, due to financial instability, the United States of New Granada accepted British currency, the name of the country becoming the United States of Colombia in 1862. In 1880, Colombia pegged the peso to the gold standard due to the falling price of silver. In 1886, the paper peso was introduced. In 1931, Colombia abandoned the gold standard and switched to the current form of the peso.
Spanish colonial coinage
Peso = 8 Reales Escudo = 2 Pesos (after 1686)
During the Spanish colonial period, present-day Colombia was part of the New Kingdom of Granada (Nuevo Reino de la Granada, or more simply Nueva Granada).
1622–1756 Cob coinage (macuquina) In 1620, Philip III sold a license to Alonso Turrillo de Yebra to establish a mint at Santa Fe de Bogotá and a branch mint at Cartagena de las Indias. These two mints began production of gold cobs in 1622—the first gold coins struck in the Americas. The Cartagena mint operated sporadically, finally closing in 1655. The Bogotá mint (sometimes called the Santa Fé or the Nuevo Reino mint) continued producing gold cobs until 1756. Its production of silver cobs was very limited. The earliest known piece of eight from Bogotá is dated 1627. Cobs were a special problem because their irregular shape invited clipping, so most cobs were (eventually) under legal weight (although of proper fineness).
1756–1822 Milled coinage The Bogotá mint began producing milled coins in 1756. A second mint opened at Popayán in 1758. Both mints produced gold escudos of the milled bust type, and a very limited number of milled silver coins. Most of the silver coin circulating in New Granada was from the Spanish mints in Mexico City and Potosí.
During the 18th century, official Spanish-American coin standards changed more than once. Older coins remained in circulation, so that three types of milled gold coin and two types of silver coin were circulating at the beginning of the 19th century. Furthermore, old silver macuquinas (cobs) also remained in circulation.
1813–1820 Necessity coinage The royalists contributed to the monetary chaos during the wars for independence by making several necessity issues of coins with a reduced silver content. After the Viceroyalty of New Granada was restored in 1816, the Spanish authorities attempted to limit the circulation of poor quality coin, including the necessity money issued by their own troops, but they made special efforts to withdraw the republican-issued Indian-head coins that symbolized independence from Spain.
Popayán The royalists produced copper coins at Popayán during the war of independence: 1/2 real 2 reales 8 reales
Santa Marta The Spanish occupied Santa Marta in May 1812 (until 1818). Both in Santa Marta and Cartagena the Spanish-minted coins were of neither uniform weight nor fineness (making them relatively easy to counterfeit). General Morillo's army circulated this "Santa Marta money" or caraqueña in areas it occupied.
In 1813 the royalists minted crude copper coins in imitation of macuquinas at Santa Marta with the initials "S.M." and "F.VII". These were recalled and effectively withdrawn in 1814. The withdrawn coppers were returned to circulation in 1817 because of a shortage caused by a delay in the delivery of coin from Bogotá. A copper cuartillo and a silver peseta were minted in 1820.
Copper coin of 1813: cuartillo (1/4 real) medio (1/2 real) Copper coin of 1820: medio Silver coin of 1820: peseta (R.2)
1811–1820 United Provinces of New Granada The United Provinces of New Granada (Provincias Unidas de la Nueva Granada) was proclaimed on 11 November 1811. The republicans minted coins of poor quality during the war of independence in order to pay the troops and cover military expenses. They also attempted to use paper money.
1811–1815 Cartagena money In 1811 the Junta Patriótica de Cartagena (Cartagena Patriotic Council) authorized coins of 1/2 and 2 reales, and for want of silver they were minted in copper. A law of 23 March 1812 authorized the government of Cartagena to issue up to 300,000 pesos fuertes (strong pesos) in notes of one real, and this issue was guaranteed by the Constitution of the State of Cartagena de Indias, passed on 14 June.
The general public, accustomed to metallic currency, avoided the paper money. To make matters worse, the notes were easily counterfeited. They rapidly fell in value until 100 pesos in paper was worth only 16 pesos in gold. The notes were used to pay the troops, but this stopped when soldiers began deserting. Finally, the government agreed (2 April 1813) to exchange the notes for treasury certificates paying 5% and renewable every four months. The copper coins, on the other hand, were well received and continued to be produced until 1815.
Coin Copper coin, minted 1811–1815: medio (R.1/2) peseta (R.2)
Paper An unknown quantity of currency notes for 1 real, printed in black on ordinary paper, signed by Germán Gutiérrez de Piñeres, chairman of the Junta Patriótica, was put into circulation in the latter half of 1812 and early in 1813.
1813–1816 Cundinamarca Cundinamarca made three issues of provincial coin with a reduced silver content. The type was the feathered head of an Indian woman, known locally as china (young maiden), but usually referred to as India (Indian) by Spanish-speaking numismatists. The first issue was authorized by President Antonio Nariño to finance the Southern Campaign against the Spanish, who had occupied Popayán, and its circulation was approved by the State of Cundinamarca on 27 September 1814.
The coins were minted between 1814 and 1816 in the amount of 72,675 pesos. They were only 7 dineros fine (.583 millesimal fineness). There was considerable variation in weight and diameter—each coin's name, value in reales (R), theoretical diameter, and weight are given below.
Obverse: Figure: the head of an Indian, crowned with feathers. Legend: LIBERTAD AMERICANA. But the obverse of the diminutive 1/4 real has a Phrygian cap, without legend. All coins have the date on the obverse.
Reverse: Figure: a pomegranate, centered (from the name of the Viceroyalty, "Granada" meaning "pomegranate"). Legend: NUEVA GRANADA and CUNDINAMARCA (but not on the 1/4 real). cuartillo (R.1/4), 11.5 mm, 0.846 g medio (R.1/2), 16.5 mm, 1.692 g real (R.1), 19.5 mm, 3.383 g peseta (R.2), 24.5 mm, 6.766 g
1819 Emergency overstrikes Soon after the Battle of Boyacá (7 August 1819), General Simón Bolívar authorized an emergency issue, which was produced by overstriking about 112 kg of royalist macuquinas. They were first put into circulation on 12 November 1819. Most of this coin was sent to Venezuela.
1819 Nueva Granada The second Indian-head (India) issue was authorized by General Bolívar before he knew of the proclamation of the Republic of Colombia. The obverse is the same as that of the 1814–1816 issue, but NUEVA GRANADA, only, appeared on the reverse. These coins are dated 1819 (diameter and weight are approximate): real, 19.5 mm, 2.65 g 2 reales, 24.5 mm, 5.00 g 4 reales, 34 mm, 12.00 g peso (R.8), 37 mm, 24.00 g
1821–1830 Gran Colombia
Peso = 8 Reales (silver) Escudo = 2 Pesos (gold)
The Republic of Colombia (República de Colombia), known as Gran Colombia, was successor to the Viceroyalty of New Granada. It encompassed modern-day Colombia, Venezuela, and Ecuador, and it retained the Spanish colonial monetary system, based on the silver peso and gold escudo.
Simón Bolívar prohibited (20 June 1821) the circulation of all copper coin and all post-1810 royalist coin that had not been counter stamped at Bogotá. Only milled coin, old and new, and the old Spanish macuquina were permitted to circulate. This was confirmed by the Congress of Cúcuta, which adopted the coin standard of 1786 for gold and of 1772 for silver. While a "strong" peso in good Spanish colonial coin amounted to over 24 g fine silver, a peso in macuquina varied between .908 and .916 fine with an average weight of about 25 g, giving 22.75-23.00 g fine silver. Copper coins minted at Cartagena and Santa Marta, and silver of inferior quality was ordered withdrawn (29 September 1821), but the government lacked the resources needed to do this.
A note issue was proposed to finance Bolívar's army, and a quantity of peso-denominated notes was printed by Peter Maverick of New York. This move was supported by Antonio Nariño but opposed by Vice President Francisco de Paula Santander. In the end, the notes were never issued.
Gran Colombia introduced a national currency inscribed "República de Colombia", minting silver and gold at Bogotá and Popayán, and copper cuartillos at Caracas. Copper coin was made legal tender to one peso fuerte. The monetary law of 31 May 1823, confirmed that of 1821 but allowed the (temporary) minting of silver coin only .666 fine. Colombia's currency was composed of a variety of coins, pre-1772 pesos, pesos of the 1772 and 1786 standards, macuquinas (cobs) of diverse types, and various coins minted by republicans and royalists during the wars of independence. This situation would continue for decades despite several attempts to unify the currency.
1820–1826 Cundinamarca
Proclamation of Gran Colombia led to a third type of India coinage, dated 1820, with REPUBLICA DE COLOMBIA replacing LIBERTAD AMERICANA and CUNDINAMARCA replacing NUEVA GRANADA. On discreet orders from Gen. Santander this type was issued between 1823 and 1826 with the date frozen at 1821, because the Congress of Cúcuta had legally set the fineness of all silver coined after 1821 to the old Spanish standard of .903 fine, while these coins were only .666 fine. cuartillo (R.1/4) medio (R.1/2) real (R.1) peseta (R.2) peso (R.8)
Monetary law of 1826 The monetary law of 14 March 1826 established the peso, divided into 8 reales, as the base of the monetary system, in both silver and gold, and named it the colombiano. It provided for a gold coinage of an onza (28.76 g) and its half (media onza), quarter (doblón), eighth (escudo), and sixteenth (the colombiano de oro or gold peso, 1.797238 g), a silver coinage of a peso or colombiano de plata and its half, quarter (peseta), eighth (real), sixteenth (medio real), and thirty-second (cuartillo), and a copper 1/8 real (7.19 g). It ordered the withdrawal of macuquinas of below-standard fineness. A supplementary law of 17 May 1826, provided for a platinum coinage.
Macuquina Despite the standards set by the 1826 monetary law, when the macuquina was withdrawn from circulation, it was reminted with a fineness of only .666. The Bogotá and Popayán mints were unable to cope with the large volume of macuquinas, so re-coining was done little by little. Since the macuquina was legal tender at face value, Gresham's law came into operation: good reminted coin fled to Venezuela and Ecuador, while new supplies of macuquinas entered Colombia, especially from the Antilles. The unrestricted circulation of macuquinas was confirmed on 6 November 1828, and its obligatory acceptance at par was confirmed by another law of 14 October 1831. New milled coin disappeared, replaced by the macuquina.
Milled Coin Silver .666 fine, dated 1827–1836: 1/4 real, 11.5 mm 1/2 real, 14.5 mm real, 20 mm
Silver .833 fine, dated 1834–1836 colombiano (R.8), 36.5 mm
Gold .875 fine, dated 1822–1838:
Obverse: liberty head center; rim REPUBLICA DE COLOMBIA·[date]·