Centavo

The centavo is a monetary subunit used in several currencies, representing one hundredth of the base unit. The term comes from the Spanish cen(t)avo, itself derived from centum, meaning hundred. In many contexts it denotes the fractional part of currencies such as the peso, the real, or their regional equivalents, and is typically expressed in coins.

Centavos are most commonly associated with Spanish- and Portuguese-influenced monetary systems. The Philippine peso, for example, is divided into 100 centavos, and the country issues coins in centavo denominations alongside its peso notes. In Mexico, the peso is likewise subdivided into 100 centavos, with centavos represented in coins and banknotes issued for pesos as the higher unit. The Brazilian real is also subdivided into 100 centavos, with coins issued in centavo amounts and banknotes in reais. In other Latin American economies, centavos have functioned as the standard hundredth part of the local currency, though the exact denominations and coin availability vary by country and over time.

Status and usage can change due to economic factors. In some economies with inflation or currency reforms, centavo coins or their practical use may diminish, while in others they remain common for small purchases and pricing. The centavo remains widely understood as the zero-to-one-hundredth portion of the respective currency, even where specific coin denominations shift or are discontinu ed. See also peso, real, and céntimos for related subdivisions in other Spanish- and Portuguese-speaking contexts.

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