Note: This currency has been replaced by the Euro.
Overview
Until 2002 the Belgian Franc (BEF) was the official currency of Belgium. It was divided into three categories: 100 Dutch centiem, 100 French centimes, and 100 German centimes. The symbol for the Franc is fr. In 1999 the Belgian Franc was pegged to the Euro at 40.3399 Belgian Francs = 1 Euro.
Economy
Belgium is a modern capitalized economy.
The main industries in Belgium are motor vehicle assembly, metal products, processed food, glass, petroleum, textiles, transport equipment, and engineering products.
Export products are foodstuffs, metal products, polished diamonds, chemicals, and machinery equipment.
Import products are raw diamonds, transportation equipment, raw materials, chemicals, oil product, and pharmaceutical products.
The unemployment rate in Belgium is 8%.
Public debt accounts for 99% of the GDP. Agriculture accounts for only 1% of the economy.
Inflation is currently estimated at 2.5%.
In 2009 Belgium had negative growth because of the worldwide banking crisis.
History
In 1832, after independence, Belgium introduced its first Franc currency. The Belgian Franc was equal to the French Franc.
In 1865, Belgium became part of the Latin Monetary Union, which consisted of France, Switzerland, Italy, and Belgium. Each country had their own currency, but all of them were free to exchange with the other countries.
Germany occupied Belgium in 1940, and the Franc was fixed against the German Reichsmark at a rate of 1 Franc = 0.1 Reichsmark.
The Franc became part of the Brent Woods system in 1994 and was pegged against the USD. 1 USD = 43.77 Belgian Francs.
In 1999, the Franc became part of the Eurozone. 40.399 Francs = 1 Euro.
