The Gambia - Money

The dalasi (D), the unit of account, was pegged to the pound sterling until 1984, when the peg was relaxed. The currency was floated in 1986, depreciating steadily against the dollar during the 1990s. It exchanged at D9.64=US$1 in 1995, D11.8=US$1 in 1999, and in mid-2001, D16.3=US$1. This depreciation of the Gambian currency increases the prices of imported products, encouraging the use of locally-produced substitutes when these are available. It also reduces the prices of Gambian goods and services to foreigners, particularly visitors, making Gambian holidays cheaper and increasing tourism.