Belize: Us Dollars Or Local Currency?

The Belize dollar is the official currency of Belize, but it is pegged to the US dollar at a ratio of 2:1. This means that two Belizean dollars will always equal one US dollar, and vice versa. As a result, US dollars are widely accepted in Belize, and travellers can use them to pay for goods and services almost everywhere. However, it is important to note that change is usually given in Belize dollars, and US coins cannot be used as a form of payment. While it is not necessary to exchange US dollars for Belize dollars, travellers should be aware of the different currencies when paying for goods and services to avoid confusion or unexpected costs.

US dollars are widely accepted in Belize, but you will receive change in Belize dollars

If you're travelling from the US to Belize, you won't need to worry about exchanging your US dollars. The Belize dollar is the country's official currency, but it's pegged to the US dollar at a rate of BZ$2 to US$1. This means that two Belizean dollars will always equal one American dollar, so you won't need to calculate exchange rates.

US dollars are widely accepted in Belize, especially in tourist destinations. However, if you pay with US dollars, you will most likely receive your change in Belize dollars. This is because the Belize dollar is used interchangeably with the US dollar within the country, but the US dollar is far more useful outside of Belize.

Belize has a thriving tourism industry, and the country's currency system is designed to make it easier for visitors to pay for goods and services. That said, there are some unique quirks to be aware of. For example, while US cash is widely accepted, US coins are not. So, it's best to leave your pennies at home.

Another thing to keep in mind is that while credit cards are gaining popularity in Belize, they may not be widely accepted outside of restaurants, bars, tour offices, and hotels. Of the major credit cards, Amex and Discover are rarely accepted due to their hefty merchant fees. It's also worth noting that smaller bills are more widely accepted than large ones, especially in villages or boutique shops and restaurants.

The Belize dollar is pegged to the US dollar at a fixed rate of 2:1

The Belize dollar is the official currency in Belize. It is abbreviated as BZD or BZ$ to distinguish it from other dollar-denominated currencies. The Belize dollar is pegged to the US dollar at a fixed rate of 2:1, meaning two Belizean dollars will always be equal to one American dollar. This has been the case since 1978, but the history of the Belize dollar goes back much further.

Prior to its independence, Belize used the British Honduras dollar, British pounds, and Spanish dollars at various points in its history. In 1825, an imperial order-in-council introduced British sterling coinage into all British colonies, including Belize. However, the exchange rate set by this order was unrealistic, leading to its failure. In 1838, new legislation corrected the rating, but by then, Belize and some other territories had already adopted an alternative rating, which they continued to use.

In the mid-19th century, British Honduras operated the British sterling monetary system, but this was driven out of circulation by the international silver crisis of 1873. As a result, a new currency was introduced, based on the US dollar, bringing British Honduras in line with Canada. This new currency was introduced in 1885, with higher denominations following in 1894, the same year the government first issued banknotes.

In 1931, when the UK abandoned the gold standard, the British Honduras dollar became pegged to the US dollar. In 1978, the link to the British pound was abandoned, and the Belize unit was once again pegged to the US dollar at a fixed rate of BZ$2 = US$1. This rate has remained in place ever since.

You can use US dollars in Belize without needing to change them into local currency

The Belize Dollar (BZD) is the official currency of Belize, but it is pegged to the US dollar on a 2:1 ratio, and the two are used interchangeably. This means that if you are travelling from the US to Belize, you can use your US dollars without needing to change them into local currency.

However, it is important to note that you will receive your change in Belize dollars, and US coins are not accepted. Credit cards are also gaining popularity, but they may not be widely accepted outside of tourist destinations. If you do plan to use your credit card, be aware that Amex and Discover are rarely accepted due to their high merchant fees.

Most prices for items are shown in Belize prices, not US, and there is no US price listed. This is done for a number of reasons, but it is said that the most important reason is that unwary Americans will often assume that prices are in US dollars and pay without expecting change, meaning they have accidentally paid double.

It is also worth noting that Belize law allows travelers to bring a maximum of $5,000 USD into the country, and this must be declared on your Disembarkation Card before presenting it to the Belize Customs Authority.

US coins cannot be used in Belize

The Belize dollar has been pegged to the US dollar at a fixed exchange rate of 2:1 for over 25 years. This means that two Belize dollars will always equal one US dollar. This fixed exchange rate makes it easy for travellers to convert their US dollars to the local currency. However, it is important to note that the exchange rate for converting Belize dollars back into US dollars may vary. While the official exchange rate is $2 BZ to $1 US, a lively parallel informal market offers a slightly higher rate of $2.05 BZ to $1 US.

Belize was a former colony of Great Britain, and as a result, the country's currency features a prominent image of Queen Elizabeth II. The late Queen's portrait is featured on all banknotes and coins issued by the Central Bank of Belize. In July 2023, it was decided that future Belizean dollar bills would not feature the portrait of King Charles III but would instead depict Belizean national heroes.

When visiting Belize, it is recommended to use Belizean money or US dollars to purchase items. While US cash is widely accepted, it is important to carry some local currency as well, especially when visiting areas outside of tourist destinations. ATMs can be found across Belize in major towns and cities, providing easy access to Belizean dollars. Additionally, banks and currency exchange businesses can also be used to exchange US dollars for Belizean dollars.

Credit cards are gaining popularity in Belize, but cash is preferred

Belize's official currency is the Belize Dollar (BZD), which is pegged to the US dollar at a fixed rate of 2 BZD to 1 USD. While the US dollar is widely accepted in Belize, it is not common to receive US dollars in change; instead, you will usually be given Belize dollars.

Belize is primarily a cash-based society, with most locals not owning credit cards. As a result, credit cards are not widely accepted outside of restaurants, bars, tour offices, and hotels. However, credit cards are gaining popularity in Belize, and they are commonly accepted at supermarkets across the country.

MasterCard and Visa are the most widely accepted credit cards in Belize, especially by smaller businesses. Credit cards from American Express (Amex) and Discover are less commonly accepted due to their high merchant fees.

If you plan to use a credit card in Belize, it is recommended to carry more than one as a backup in case one does not work. Additionally, some credit card companies suggest informing them of any upcoming international travel to avoid having charges blocked due to suspicious activity.

While credit cards are becoming more popular in Belize, cash is still the preferred payment method, especially in local shops. It is advisable to carry a mix of US dollars and Belize dollars in smaller denominations to facilitate transactions and receive favourable exchange rates.

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