# Bahamian dollar

> monetary currency of the Bahamas

**Wikidata**: [Q194339](https://www.wikidata.org/wiki/Q194339)  
**Wikipedia**: [English](https://en.wikipedia.org/wiki/Bahamian_dollar)  
**Source**: https://4ort.xyz/entity/bahamian-dollar

## Summary
The Bahamian dollar (BSD) is the official currency of the Bahamas, introduced in 1966 to replace the Bahamian pound. It is pegged to the U.S. dollar at a 1:1 ratio, facilitating trade and tourism in the island nation. As the primary medium of exchange, it plays a central role in the Bahamian economy.

## Key Facts
- Introduced on January 1, 1966, replacing the Bahamian pound.
- Officially abbreviated as BSD (ISO code).
- Pegged to the U.S. dollar at par (1 BSD = 1 USD).
- Printed by De La Rue, a British security printing company established in 1821.
- Subunit: 100 cents (not explicitly detailed in source material but implied by currency structure).
- Sovereign state: The Bahamas (independent since July 10, 1973).
- Wikidata sitelink count: 52; Wikipedia title: "Bahamian dollar".

## FAQs
- **When was the Bahamian dollar introduced?**  
  The Bahamian dollar was introduced in 1966, replacing the Bahamian pound as the national currency.  
- **What is the relationship between the Bahamian dollar and the U.S. dollar?**  
  The Bahamian dollar is pegged to the U.S. dollar at a fixed 1:1 exchange rate, ensuring stability for international transactions.  
- **Who prints Bahamian dollar banknotes?**  
  De La Rue, a British company specializing in secure printing, produces Bahamian currency.  
- **Why was the Bahamian pound discontinued?**  
  The Bahamian pound was phased out in 1966 to align the country’s currency with the U.S. dollar, reflecting economic ties to the United States.  

## Why It Matters
The Bahamian dollar is critical to the Bahamas’ economic identity and stability. Its peg to the U.S. dollar reduces exchange rate volatility, supporting tourism and foreign investment, which are pillars of the nation’s economy. By replacing the Bahamian pound, it modernized financial systems and strengthened regional trade links. Its design and security features, managed by De La Rue, also reflect the Bahamas’ commitment to preventing counterfeiting and maintaining trust in its currency.

## Notable For
- **Fixed USD Peg**: Maintains a 1:1 exchange rate with the U.S. dollar, unique among Caribbean currencies.  
- **Historical Transition**: Replaced the Bahamian pound in 1966, seven years before the Bahamas gained full independence.  
- **Security Printing**: Produced by De La Rue, a company with expertise in secure currency design since 1821.  
- **Economic Stability**: Central to the Bahamas’ tourism-driven economy and international financial services sector.  

## Body

### History
The Bahamian dollar was introduced in 1966, signaling a shift from the Bahamian pound to a decimal system aligned with the U.S. dollar. This transition occurred while the Bahamas was still a British colony; full independence followed in 1973. The currency’s creation reflected growing economic ties to the United States, particularly in tourism and finance.

### Economy and Peg
The Bahamian dollar’s fixed exchange rate with the U.S. dollar (1:1) is maintained by the Central Bank of the Bahamas. This policy minimizes currency risk, encouraging foreign investment and simplifying trade. The peg also stabilizes prices for imports, which are critical for the island nation’s consumer goods.

### Printer: De La Rue
De La Rue, founded in 1821 and headquartered in the UK, has printed Bahamian banknotes. The company’s expertise in security features (e.g., watermarks, holograms) helps prevent counterfeiting. De La Rue operates globally, serving over 140 countries, and employs approximately 4,000 staff across its security printing and papermaking divisions.

### Related Entities
- **The Bahamas**: A sovereign state in the West Indies with a high-income economy reliant on tourism and banking.  
- **Bahamian Pound**: The pre-1966 currency, subdivided into 20 shillings or 240 pence, reflecting British colonial influence.  

### Classification
As a **currency** (class), the Bahamian dollar functions as a medium of exchange, unit of account, and store of value. It shares the **dollar** naming convention with currencies like the U.S., Canadian, and Australian dollars, though it is not interchangeable with these. Its structure (100 cents = 1 dollar) aligns with global decimal standards.

## References

1. Freebase Data Dumps. 2013