For many years, traveling to a foreign country meant getting some cash in that county’s denomination, and potentially some traveler’s checks, as well.
I remember during my earliest international travels that getting more popular money, such as pounds sterling, French francs or German Deutsche Mark, was easy. Most larger banks carried a supply of it (I should mention that I lived in one of the boroughs of New York City at the time, which may have helped me find banks that had such cash. Had I lived in a small town, that may not have been the case). For my first trip to Japan though (it was the mid-1990s), I think I had to make an appointment at AAA and tell them ahead of time how many yen I wanted.
In this age of credit cards that are accepted around the world, and touchless everything, Joe and I have taken to going to countries where we don’t even bother exchanging anything ahead of time. When we get to our country of choice, we use an ATM to get a few dollars for smaller purchases, but everything else is paid for with a card.
The only exception in recent years was when we went to Cuba in 2016. Not surprisingly, most places didn’t take U.S. credit cards; it was cash only. But we knew this ahead of time and the company that was supplying us with our tour guide and custom itinerary made sure that we stopped at a Banco Nacional de Cuba so we could exchange our dollars (or Euros) for CUPs (Cuban Pesos).
All that being said, there are roughly 180 types of currency in the world used in 195 different nations (as recognized by the United Nations). And yet some of them, for varying reasons, can be used, not only in their respective country of origin, but also in other countries, as well. Euros, of course, are used in 20 different countries. You may know that American dollars are accepted in some parts (usually the more touristy parts) of Canada and are often accepted for small purchases in Cuba, as well. Or that the Danish Crone can be used, not only in Denmark, but also Greenland (and the Faroe Islands too, but they’re a territory of Denmark, so that makes sense). The South African Rand can be used in South Africa, Lesotho, Namibia and Swaziland.
But wait, there’s more! Going back to U.S. dollars, there are some countries that not only accept them but use them as their own currency. It’s said it’s because the U.S. dollar is thought to be a stable currency. So several territories and countries, particularly in the Caribbean, the Pacific, South America and Africa have either adopted the dollar as their own currency, or use it alongside their own.
U.S. territories
It makes sense that these U.S. territories accept U.S. dollars since they’re a part of the United States.
- American Samoa
- Guam
- Northern Mariana Islands
- Puerto Rico
- U.S. Virgin Islands
Foreign nations & territories that use the U.S. dollar as their official currency
- Bonaire
- British Virgin Islands
- Ecuador
- El Salvador
- Federated States of Micronesia
- Marshall Islands
- Micronesia
- Palau
- Timor-Leste
- Turks & Caicos
- Zimbabwe
Foreign nations & territories that use the U.S. dollar alongside their own currency
Going to the Bahamas and have Bahamian dollars? Great!
Going to the Bahamas and have U.S. dollars? Also great!
These places have their own currency but will also accept U.S. dollars everywhere (or nearly everywhere). Currency exchange does vary; it’s not always 1:1.
- Aruba
- Bahamas
- Barbados
- Belize
- Bermuda
- Cambodia
- Caribbean Netherlands
- Cayman Islands
- Costa Rica (not all areas)
- Curacao
- Honduras
- Liberia
- Nicaragua
- Myanmar
- Panama
- Sint Maarten
- Somalia
- St. Kitts and Nevis
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14 comments
Canada takes US dollars almost everywhere.. it’s just a huge rip off to do.
You fail to put Panama on your list of countries that use the American dollar.
I know I’m American and I live there.!
Panama was indeed included. It’s between Myanmar and Sint Maarten, under “Foreign nations & territories that use the U.S. dollar alongside their own currency”
Panama does not print own money they use the American dollar..
All they have are coins.
Yes. So it’s a foreign nation that uses the U.S. dollar alongside its own currency. Coins are still money.
During my recent visit to Lebanon I was surprised to see locals using tbe follar instead of te local currency on almost every transaction.
They even give you change back in dollars if you paid in dollars.
Peru you can pay in dollar in most restaurants super market and other places but you will get the change back in soles
Dollars are also legally used for commercial transactions and are available in ATMs. You can open a USD account in any Peruvian bank and even withdraw and deposit the green buck at ATMs.
Zimbabwe has its own currency (Zimbabwean Dollar), even though it uses US Dollar alongside!
In Costa Rica, just using your credit or debit card often induces massive fees and surcharges, like 25% or more. You will also occasionally find inflated prices when you spend dollars near tourist destinations. I always find ATMs (ScotiaBank or BNR are good choices) to be ideal. I can simply make direct withdrawals in colones from my Bank of America account with a fee of less than 2%, if I recall correctly.
You forgot to put Nigeria,a west African country ripped with corruption as a U.S. dollarized their economy by politicians
Most places you mentioned are hosting an American Army base. Some are practically colonies of USA.
Zimbabwe uses the USD along with its own local currency.
Not seeing Mexico on the list of countries that accept the US dollar. The toll booths usually have the best exchange rate.