The Slovenian Tolar (SIT) was the official currency of Slovenia from 1991 until its replacement by the euro in 2007.
Slovenia’s entry into the European Union (EU) in 2004 and its adoption of the euro on January 1, 2007, led to the phasing out of the Slovenian Tolar.
The euro (EUR) is now the official currency of Slovenia, managed by the European Central Bank (ECB) and the national central banks of the Eurozone member countries, including the Bank of Slovenia.
History of the Slovenian Tolar
The Slovenian Tolar was introduced as the official currency of Slovenia on October 8, 1991, following the country’s declaration of independence from Yugoslavia on June 25, 1991.
The Tolar replaced the Yugoslav Dinar at a rate of 1 Tolar to 0.0125 Dinar.
Before its replacement by the euro, the Slovenian Tolar was subdivided into 100 smaller units called stotinov.
Coins were issued in denominations of 10, 20, and 50 stotinov, as well as 1, 2, 5, 10, 20, and 50 Tolars.
Banknotes were available in denominations of 10, 20, 50, 100, 200, 500, 1,000, 5,000, and 10,000 Tolars.
Transition to the Euro
Slovenia’s adoption of the euro was a result of its accession to the European Union and its commitment to fulfill the convergence criteria outlined in the Maastricht Treaty.
The convergence criteria include requirements such as low inflation, low public debt, stable exchange rates, and low long-term interest rates.
After meeting these criteria, Slovenia joined the Eurozone on January 1, 2007, and the euro became its official currency.
During the transition period, both the Slovenian Tolar and the euro were in circulation, with a fixed exchange rate of 239.640 Slovenian Tolars to 1 euro.
After the transition period, the Slovenian Tolar was no longer legal tender, and all transactions in Slovenia have since been conducted using the euro.
Summary
The Slovenian Tolar was the official currency of Slovenia from 1991 until its replacement by the euro in 2007.
The currency was subdivided into 100 stotinov and was available in various coin and banknote denominations.
The euro was adopted as Slovenia’s official currency following its accession to the European Union and its fulfillment of the convergence criteria outlined in the Maastricht Treaty.