Currency of Peru is an essential thing to know if you are planning a trip to Peru. In addition to packing your bags and dreaming about visiting Machu Picchu, make sure you’re prepared with knowledge about the Peruvian sol, how to use it, and practical tips for managing your money during your adventure.

Local currency. – In this blog we tell you everything you need to know about the Peruvian sun, how to use it efficiently and some tips to save money while enjoying this fascinating country.

¿What is the official currency of Peru?

Peru’s official currency is the sol (PEN). Since 2015, it has been officially known as the “sol”, after replacing the term “nuevo sol”. The sol is divided into 100 cents, and in circulation you will find coins of 10, 20 and 50 cents, as well as 1, 2 and 5 soles. There are also bills of 10, 20, 50, 100 and 200 soles, the latter being the largest denomination.

The design of Peruvian banknotes and coins includes elements of the country’s rich history and culture, such as portraits of historical figures, pre-Columbian art and emblematic landscapes. In addition, the banknotes feature advanced security measures to prevent counterfeiting.

¿What is the exchange rate?

The exchange rate of the Peruvian sol against other currencies, such as the U.S. dollar (USD) or the euro (EUR), may vary from day to day. As a reference, in 2024 the average exchange rate is approximately 3.80 soles per dollar. However, it is always a good idea to check the current exchange rate before making any transaction. You can use currency conversion apps or websites to keep up to date.

¿Where to change money in Peru?

1. Exchange Houses: Exchange houses are a popular option and usually offer better exchange rates than airports. These are located in major cities such as Lima, Cusco and Arequipa.
2. Banks: Changing money in banks is safe, but the rates may be less favorable and the procedures slower. Be sure to bring your passport.
3. Automated Teller Machines (ATM): They are available in most cities and allow direct soles withdrawals. However, check your bank’s commissions for international withdrawals.
4. Hotels and businesses.: Some hotels and tourist stores accept currency exchange, but rates tend to be less competitive.

Practical tips for managing money in Peru

• Carries cash: Although credit cards are accepted in hotels, restaurants and large stores, many small businesses and local markets only accept cash.
• Small bills and coins: Large bills can be difficult to change, especially in small stores or cabs. Always carry coins and small bills.
• Avoid counterfeits: Check bills when receiving change. Check for watermarks and other security features. If in doubt, ask locals to help you identify counterfeit bills.
• Tips: Tips are not always obligatory, but they are usually well received. In restaurants, it is common to leave between 5% and 10% of the total bill.

¿You can pay in dollars in Peru?

In many tourist areas, especially in Lima and Cusco, U.S. dollars are accepted in hotels, travel agencies and some restaurants. However, it is advisable to carry soles for everyday transactions, as prices in dollars may be less favorable to the buyer.

¿How to identify banknotes and coins of the currency of Peru?

If this is your first time handling currency of Peru, familiarizing yourself with the bills and coins will be very helpful. Each denomination has unique characteristics:

• Tickets: They are made of paper and polymer, with bright colors and portraits of historical characters such as José Abelardo Quiñones (S/10) or Santa Rosa de Lima (S/200)..
• Coins: The smaller ones, such as the 10 cents, are silver-colored, while the 1 and 2 soles have a bimetallic design.
  Also, pay attention to security features, such as watermarks, holograms and embossed numbers, to avoid counterfeits. Mastering these will make your experience when using currency of Peru easier!

¿It is safe to use credit and debit cards?

Credit and debit cards are widely accepted in tourist and commercial establishments. However, keep in mind the following recommendations:

• Use your cards in reliable places to avoid fraud.
• Notify your bank about your trip to avoid having your international transactions blocked.
• Carry an extra card as a backup in case of loss or theft.

Final recommendations

• Plan your budget: Research the costs of transportation, meals and activities to carry enough money without carrying excessive amounts..
• Dribble with respect: In local markets and with street vendors, bargaining is common, but always do it courteously.
• Keep your receipts: Some merchants may ask for receipts as proof if you need to make exchanges or returns.

Traveling to Peru is an unforgettable experience, full of culture, history and adventure. With these tips about the local currency, you will be able to enjoy your trip without financial worries. Have a good trip!