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International Journal in Management & Social Science
Year : 2016, Volume : 4, Issue : 10
First page : ( 85) Last page : ( 90)
Online ISSN : 2321-1784.

Dollarization

Bala Renu

Asst. Prof. in Economics S.D College, Barnala

Online published on 8 August, 2018.

Abstract

In the most recent couple of years, the possibility of dollarization has surged to the cutting edge of money related strategy options for Latin American nations. A few nations have as of now authoritatively received the US dollar as legitimate delicate. Panama received the dollar as its official cash in 1904, Ecuador dollarized in September 2000 and El Salvador stuck to this same pattern in January 2001. By dispensing with their national monetary standards and supplanting them with the US dollar, nations considering dollarization would like to accomplish monetary solidness and development. Is dollarization a snappy solution for monetary solidness in Latin America? The answer is yes and no. Dollarization may advance monetary steadiness in the short term, yet auxiliary and institutional issues should likewise be tended to if a dollarizing nation is to accomplish long haul financial development and advancement.

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