Before the euro became Spain’s official currency, the peseta was the heart of Spanish commerce for over 130 years. Established on October 19, 1868, by a government decree, the peseta served as the fundamental unit of the Spanish monetary system, weaving itself into the daily lives and historical narrative of Spain.
The journey of the peseta began with its first coins minted in 1869 at the Madrid mint, now known as the Royal Mint of Spain (Fábrica Nacional de Moneda y Timbre – Real Casa de la Moneda or FNMT-RCM). These initial coins featured a design inspired by Roman coinage, specifically a matron figure reminiscent of coins from Hadrian’s era. From these early examples to the final peseta coins struck in 2001, Spanish currency evolved in value, size, metallic composition, and artistic design on both the obverse and reverse.
The introduction of peseta banknotes followed shortly after, with the first notes printed on July 1, 1874. This marked a significant step as the Banco de España (Bank of Spain) was granted the exclusive right to produce banknotes, solidifying its central role in the nation’s financial system.
Spaniards conducted countless transactions, from everyday purchases to significant investments, using over 50 different series of peseta banknotes throughout its long history. Interestingly, the Royal Mint of Spain itself began issuing banknotes on October 21, 1940. Prior to this, banknote production was handled by the Banco de España’s workshops and even some foreign companies, highlighting the evolving landscape of Spanish currency production.
Both peseta coins and banknotes served as tangible records of Spain’s shifting political regimes, evolving philosophies, changing fashions, and societal trends. They remain today as historical artifacts, each piece telling a story of Spain’s rich and dynamic past.
The Transition to the Euro
The era of the peseta concluded on January 1, 2002, when euro banknotes and coins were introduced into circulation. For a transitional period, both currencies circulated together until February 28, 2002, after which the euro became the sole legal tender in Spain.
To facilitate the changeover from pesetas to euros, a system was put in place for citizens to exchange their old currency. Initially, until June 30, 2002, pesetas could be exchanged for euros at both the Banco de España and other financial institutions. After this date, the exchange service was exclusively available at the Banco de España. The final deadline for exchanging pesetas for euros was set for June 30, 2021, marking the definitive end of an era for Spain’s pre-euro currency.
