Brazil introduced the real in 1994 to end its long period of hyperinflation.
The real was created through the Plano Real, an economic stabilization program launched during the presidency of Itamar Franco. Fernando Henrique Cardoso, then finance minister, helped lead the plan before becoming president. The currency entered circulation on 1 July 1994, replacing the cruzeiro real at a rate of 1 real to 2,750 cruzeiros reais.
A key part of the plan was the Unidade Real de Valor, or URV, a temporary unit used to align prices and wages before the new currency appeared. This helped break the habit of constantly changing prices and reduced inflation expectations.
The real replaced several earlier Brazilian currencies, including the cruzeiro, cruzado and cruzeiro real. Brazil still uses the real today, although it has experienced periods of depreciation and inflation since its introduction. Its plural form in Portuguese is reais, while the currency symbol is R$.