What is NOK – Norwegian Krone
Norwegian crowned (NOK) is the official currency of Norway, its regulations and circulation being controlled by the country’s central bank, the Norges Bank. The bank issued a total of eight sets of banknotes, including October 2020, issued from a new 50-crowned and 500-crowned bills. Consumers can still use 50-crowned and 500-crowned tickets from the previous series until October 18, 2019.
Norwegian crowned, or crowns for the plural term, is subdivided into 100 ore. Word crowned translated into English as the crown. The pieces come in denominations of 1, 5, 10 and 20 crowned and banknotes appear as denominations of 50, 100, 200, 500 and 1,000 crowns. The currency code for NOK is “ISK” and the currency symbol is “kr”.
Coins of 5 crowns of the year have been introduced.
The banknotes feature prominent Norwegians such as renowned scientists and artists on the front of the coin, as well as information indicating the specific person’s contribution to Norwegian culture. The back of each bill illustrates an aspect of Norwegian art. For example, the 50-crowned note contains a green tint, a portrait of Peter Christen Asbjørnsen on the front and an artistic rendering of the history of Asbjørnsen A summer night in Krogskogen.
Production of 1 and 2 øre coins ceased in 1972, and silver was replaced by cupro-nickel in 1920.
History of the crown
The first broadcast of crowned came in 1875 when it became the replacement for the speciedaler. At that time, the conversion rate was four crowns for a speciedaler. After the transition, Norway joined the Scandinavian Monetary Union, an alliance that existed until the start of the First World War. During the existence of the Union, the crowned acted as the gold standard with one kilogram of gold equivalent to 2480 crowns. The use of NOK as a gold standard ended in 1931.
In 1939, the country’s currency was pegged to the United States dollar (USD), but while it was occupied by Germany during World War II, it was pegged to the Reichsmark. At the end of the war, the currency pegged to the British pound (GBP). In 1992, the central bank moved away from a fixed exchange rate, allowing the currency to float according to the exchange rate.
The 10 Syrian pounds look so closely like the 20 Norwegian kroner that they can fool many coin operated automated service machines in the country.
Economic impact on the value of NOK
As with all currencies, economic trends cause the value of the currency to fluctuate. crowned. Currency investors can search for the NOK when the value of the Euro (EUR) is in doubt. The increase in NOK trading activity can increase the exchange rate. Changes in the world price of crude oil also affect the value of NOK as Norway is the largest oil exporter in Western Europe.
Shipping, hydro, fishing and manufacturing in Norway all contribute to the country’s gross domestic product (GDP). However, it is interesting to note that many industries are state-owned. Historically, the crowned is a prudent investment, as Norway is banking on one of the most stable economies in Europe.
Key points to remember
- The Norwegian krone is the official currency of Norway. Its currency code is “ISK” and its symbol is “kr”.
- The coins come in denominations of 1, 5, 10 and 20 crowns, and the banknotes are divided into 50, 100, 200, 500 and 1000 denominations.
- The circulation of the crown began in 1875.
- When the value of the euro is in doubt, foreign currency investors can seek the crown.
Example from the real world
Norway is one of the richest countries in the world and enjoys one of the highest standards of living. According to World Bank data for 2020, Norway has a high-income economy with slow population growth at 0.9% per year. The annual growth of gross domestic product per year is 1.9% while the inflation deflator is 3.8% per year.