redenomination

English

Etymology

From re- +‎ denomination.

Noun

redenomination (countable and uncountable, plural redenominations)

1. The process of redenominating.
2. (economics, finance) The recalibration of the face value of a currency, most frequently by multiplying that value by a power of 10, sometimes followed by the demonetization of any cash issued with the original face value.

   After the redenomination, the new peso was worth 100 old pesos.

Usage notes

In the most technical sense, redenominating always results in a new currency due to the issue of a new ISO 4217 code, even though the popular conception might be that only the face value, rather than the currency itself, has changed. However, the term is usually (though not always) used to imply that the new currency was issued for the purpose of recalibration, regardless of whether there is a general perception of a change of currency. For example, the Argentine peso was recalibrated in 1983 and then replaced by the austral in 1985, but both instances are frequently referred to as redenomination because they were done for the same reason (to combat hyperinflation).