MCQ Detailed View

The Real (symbol: R$) is the official currency of Brazil. It was introduced on July 1, 1994, as part of the Plano Real (Real Plan), a major economic reform aimed at controlling hyperinflation and stabilizing the Brazilian economy. The name "Real" was chosen to reflect the historic currency used in colonial Brazil.

One Real is divided into 100 smaller units called "centavos." The currency is issued and managed by the Central Bank of Brazil, and it is used for all domestic and international financial transactions within the country.

Key facts about the Brazilian Real:

• Country: Brazil


• Currency code: BRL


• Symbol: R$


• Introduced: July 1, 1994


• Subunit: 1 Real = 100 centavos


• Issued by: Central Bank of Brazil

Before the Real, Brazil had gone through several different currencies due to economic instability and inflation, including the Cruzeiro and the Cruzado. The introduction of the Real marked a turning point in Brazil’s economic history. It was initially pegged to the US dollar to help maintain its value and attract investor confidence.

The Real has become a symbol of Brazil’s modern financial system. It is widely accepted throughout the country, and its banknotes feature important Brazilian cultural figures, natural landscapes, and native wildlife. For example, the R$2 note features a sea turtle, and the R$100 note features a jaguar, highlighting Brazil’s biodiversity.

Although the Real has faced fluctuations over the years, especially during political or economic crises, it remains a key currency in South America. Brazil is the largest economy in Latin America, and the Real plays a major role in regional trade and finance.

In global currency markets, the Real is commonly traded and monitored by investors, economists, and international businesses that engage with Brazil’s large consumer base and resource-rich economy.