Dollarization Increases in Guatemala

More and more products and services are being sold with prices set in U.S. Dollars.

Thursday, September 10, 2009

Maynor Cabrera, a researcher from the Central American Institute for Fiscal Studies (Icefi), identified a process of "slow dollarization".

"This trend shows itself in the increase of dollars in the economy,... one of the reasons ... is that service providers want to protect their purchasing power", added Cabrera to local newspaper

More on this topic

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From a press release issued by the IMF:

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The volatility that the dollar has shown brings back to table the discussion on whether or not to dollarize the Costa Rican economy.

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Why It Would Be Impossible to de-Dollarize El Salvador

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An Argentine expert predicts that if the Salvadoran economy abandons the dollar it would trigger serious social upheaval ... and Argentines know all about that...

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That the Guatemalan Central Bank argues against dollarization is no surprise for anyone, as its very reason for existence is questioned with it.

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