South African rand as Daan Desimaal). This was accompanied by a radio jingle, to inform the public about the new currency. One Rand was worth US$1.40 from the time of its inception in 1961 until late 1971. Its value thereafter fluctuated as various exchange rate dispensations were implemented by the South African authorities. By the early-1980s, high inflation and mounting political pressure combined with sanctions placed against the country due to international opposition to the apartheid system started to erode its value. The currency broke above parity with the dollar for the first time in March 1982, and continued to trade between R
Optimum currency area Optimum currency area In economics, an optimum currency area (OCA), also known as an optimal currency region (OCR), is a geographical region in which it would maximize economic efficiency to have the entire region share a single currency. The underlying theory describes the optimal characteristics for the merger of currencies or the creation of a new currency. The theory is used often to argue whether or not a certain region is ready to become a currency union, one of the final stages in economic integration. An optimal currency area is often larger than a country. For instance, part of the