centavos

Centavo (plural centavos) is a monetary subunit equal to one‑hundredth of the basic unit of several currencies, primarily in Latin America and the Philippines. The term derives from the Spanish “céntimo,” itself borrowed from the Latin “centum” meaning one hundred. In most cases, a centavo is represented by the symbol “¢” or by the abbreviation “c” attached to the larger unit, such as “$0.01” for one centavo of a dollar‑denominated currency.

The centavo is used in the currencies of Brazil (real), Mexico (peso), Colombia (peso), Chile (peso), Argentina (peso), Uruguay (peso), the Dominican Republic (peso), and the Philippines (peso), among others. Historically, many former Spanish colonies adopted the centavo as the fractional unit of the peso, reflecting the influence of Spanish monetary conventions. In Brazil, the term “centavo” replaced “centavo” after the introduction of the real in 1994, while in Mexico the centavo has been issued as a coin since the 19th century and remains legal tender despite declining circulation.

Centavo coins are typically minted in copper, bronze, or nickel‑plated steel and circulate in denominations ranging from 1 to 50 centavos, depending on the country’s monetary policy and inflation history. In several economies, low‑value centavo coins have been withdrawn from circulation due to limited purchasing power, with transactions rounded to the nearest ten‑centavo increment. Despite this trend, the centavo continues to serve as the standard fractional unit for accounting, pricing, and financial reporting in the nations that retain it.