1966 origin
Foundation
Australia decimalised on 14 February 1966, replacing the Australian pound with the dollar at two dollars to the pound.
Australian dollar did not appear fully formed. Australia decimalised on 14 February 1966, replacing the Australian pound with the dollar at two dollars to the pound.
Later reforms — decimalisation, central-bank charters, pegs and floats — matter as much as the founding date for how the unit behaves now.
Where it began
1966Canberra
Australia decimalised on 14 February 1966, replacing the Australian pound with the dollar at two dollars to the pound.
Timeline
1910Australian pound
Federal notes replace bank issues.
1931Devaluation
Depression adjustment vs sterling.
1966Decimal dollar
AUD replaces the pound.
1983Float
Dollar floated under Hawke–Keating.
1988Polymer pioneer
First polymer note series.
1990sInflation target
RBA formalises target framework.
2000sChina boom
Terms of trade lift the Aussie.
2008GFC
Commodity and funding stress.
2013Mining peak
Terms-of-trade cycle turns.
2022Hiking cycle
Inflation brings rapid rate rises.
The eras
Classical period
Establishment
Australian dollar became embedded in trade, tax and daily prices in its core territory.
Twentieth century
Modernisation
Central banking, note series and FX regimes modernised how the unit worked.
Late century shocks
Stress & reform
Crises and reforms redefined convertibility, pegs or floats.
Today
Digital era
Cards, instant payments and CBDC debates reshape how balances move.
Major reforms
Founding statute
1966Legal creation or major restatement of Australian dollar as a unit of account.
Modern central bank framework
20th c.Reserve Bank of Australia (or its predecessor) took primary responsibility for note issue and monetary stability.
FX regime shift
late 20th c.Peg, basket or float arrangements were redefined as capital flows and inflation targets evolved.
Understanding Australian dollar starts with its legal birth and the crises that forced redesigns of convertibility and trust.
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