Guyana suspends trade in Barbados dollar

A deluge of Barbadian dollars on the Guyana market has resulted in that country’s central bank today temporarily suspending trade in this island’s currency.

Guyana’s monetary authorities also moved against the Trinidad and Tobago dollar, and though trading is temporarily suspended, the central bank said persons conducting “legitimate” business could still deal in the dollars of the two Caribbean Community member states.

Since the beginning of this week a local Guyana newspaper, Kaieteur News, has been reporting that the business community was facing a shortage of US currency.

Government responded by indicating that there was no such shortage as there were adequate reserves.

However, they were worried that local traders were accepting large amounts of Barbados and Trinidad currency and exchanging them for US dollars.

Information from the central bank shows that while there was $8 million Barbados in circulation in Guyana in 2014, the figure has since leaped to $13 million.

For the same period, the amount of Trinidad currency in circulation moved from TT$9.1 million to TT$38 million.

There is unrestricted access to foreign currency in Guyana and reports are that businesspeople from Barbados and Trinidad have been using this gateway to access US dollars.

32 Responses to Guyana suspends trade in Barbados dollar

  1. Khati D
    Khati D'Souza December 9, 2016 at 5:45 am

    *smiling broadly* so this means bajan tourists cannot use bajan currency there? Hmmm interesting development….

    Reply
    • Anthon Gazaned Nicholson
      Anthon Gazaned Nicholson December 9, 2016 at 5:55 am

      I doesn’t mean that..it means the bank of Guyana will not be buying $BD & $TTD from the local cambios

      Reply
    • Khati D
      Khati D'Souza December 9, 2016 at 5:56 am

      Okayyyy. Great. Good to know.

      Reply
    • Andrea Power
      Andrea Power December 9, 2016 at 6:19 am

      Correct because unlike other places – the money is being exchanged for US and creating shortages of US in guyana. This was contained in a statement issued by the Bank of Guyana

      Reply
    • Dave Person
      Dave Person December 9, 2016 at 7:48 am

      If the bank is not exchanging it then no one will use it.

      Reply
  2. Tony Webster December 9, 2016 at 5:49 am

    Passing strange!?? A brave journalist would be forgiven for seeking clarification from the Central Bank of Barbados, as it would seem that some injury is being occasioned to our CARICOM agreements….either in letter, or in spirit. Should we retaliate? What will the guv do…when the Central Bank of Guyana…repatriates ship-loads of BB$ currency notes to their home …in Church Street…and politely asks for compensation…in US$???????

    How our Guyanese brothers must chuckle at us, with tables turned from the savage seventies and embarassing eighties, with the G$ now ascendant, and we here are struggling…for traction…relevance…and survival.

    All chickens… eventually, inescapably, and unavoidably…come home to roost.

    Reply
  3. Sweetsfaday Herbert Walcott
    Sweetsfaday Herbert Walcott December 9, 2016 at 5:57 am

    barbados stop trinidad from sending out us currency too, jamaica did barbados long time

    Reply
  4. Romena Bruce
    Romena Bruce December 9, 2016 at 6:17 am

    Regina Caesar

    Reply
  5. Lynda Bonnett
    Lynda Bonnett December 9, 2016 at 6:22 am

    So,there is a little Barbados in guyana

    Reply
  6. Shurf De
    Shurf De December 9, 2016 at 6:43 am

    Hmmmmmm

    Reply
  7. Carolynn Mayers
    Carolynn Mayers December 9, 2016 at 7:06 am

    Jeanne Sealey

    Reply
  8. Jai Khan
    Jai Khan December 9, 2016 at 7:12 am

    Starting to sound like it should be renamed Guybados!

    Reply
  9. BoBoTheClown December 9, 2016 at 7:40 am

    Forbes Burnham Seems to be alive and well ?
    We love Guyanese ,don’t we? Bajan men I mean.
    They seem enamored by them.

    Reply
  10. Phil December 9, 2016 at 7:53 am

    Clearly, this represents a pending devaluation of the Barbados dollar as it is a conduit of exchange. Let’s not forget that there are over 1500 Barbadians SQUATING yes SQUATING on government land along the Suezdyke Linden highway. when challenged about this action, the Guyana government never packed on a plane nor ship and deported them, instead the government gave them the land which incidentally larger than Barbados, and declared that they are “our Brothers from Barbados” There is a brisk trade of US – Barbados – Guyana dollars.

    Reply
    • harry turnover December 9, 2016 at 4:32 pm

      How does this ” clearly represents a pending devaluation of the Barbados dollar as it is a conduit of exchange ” explain !! CLEARLY YOU TOO do not understand what you have read.
      ….and what does 1500 Barbadians SQUATING on Government land got to do with the price of sugar ?

      Reply
  11. harry turnover December 9, 2016 at 8:05 am

    ” What will the guv do…when the Central Bank of Guyana…repatriates ship-loads of BB$ currency notes to their home …in Church Street…and politely asks for compensation…in US$?????? “….NONSENSE !!”
    ” with the G$ now ascendant..”…..NONSENSE again !!
    You know wha going on ?? or you just read and form an opinion and write rhetoric as USUAL.
    Right now it takes $2 BAJAN to get $1 US whilst it takes $207 GUYANA to get $1 US … that doesn’t mean that the Guyana dollar is in ascendancy.
    All that is saying that .since …”.there is UNRESTRICTED access to foreign currency in Guyana ” locals are accepting payments in Bds and TnT currency instead of converting to Guyanese currency .After that they take these Bds and TnT dollars to the Bank in exchange for US dollars.
    Anybody can therefore see why the Guyana authorities place the ban and furthermore it IS the locals ( GUYANESE ) that are using this gateway to access US dollars at a CHEAPER rate and not the business people from Bdos and TnT.

    Reply
    • Phil December 9, 2016 at 9:57 pm

      Harry turnover. Guyana is exporting over US $ 3 billion in gold alone They export many other commodities. I have a degree in Global Clearing if you know or understand what that means. Do you have any idea how much US dollars is sent into Guyana both Legally and illegally? I do wish to engage you nor Zeus in any argument you’re not prepared for. Clearly you are defending a dilapidated political system. Go to Guyana and see for yourself. You and Zeus and Alex Alleyne will not see a hungry Guyanese walking the streets nor are they naked. Their problem is racism. You go through the EC territories and on the streets most shops are exchanging BDS dollars at one for one. If you want it the correct ex rate of $1.74 to one Bds dollar. Get to the bank. A private jet owned by a Guyanese was discovered to have US $ 500,000.00 in cash to which the owner declared it as personal property he forgot to declare. That cash was going to Guyana. Over 75 % of regular business transactions are done in US currency in Guyana. Brexit was done in UK to protect the Pound sterling but that backfired and European trade with the Europeans have dropped significantly. I may not be as smart as you defenders of DEM people But I know and understand international clearing and I work with investors who tyrade in US Billions.
      Try and find out how many Barbadians have offshore bank accounts especially with Credit Swiss.

      Reply
  12. Stuart Gourley
    Stuart Gourley December 9, 2016 at 8:49 am

    Perhaps they know that Barbados is on the eve of their dollar, being devalued. That would cause much chaos in the Caribbean.

    Reply
  13. Sasha December 9, 2016 at 9:25 am

    I dont see how anyone can think the article is about anything other than Guyana trying to rebuild lagging US foreign exchange.

    Tony Webster i guess you are so hot to pull the country down you don’t understand what is going on. If you can’t understand what certain words mean, get a dictionary, like i do, it that easy.

    Harry Turnover explained it, so you can read his comment.

    Do better Tony Webster.

    Reply
  14. Zeus December 9, 2016 at 9:40 am

    Geez Harry I never thought I would agree with any thing you wrote …you hit the nail on the head …..got to the top of the class

    Reply
  15. Analicia Jade
    Analicia Jade December 9, 2016 at 10:19 am

    I soooo shame

    Reply
  16. Alex Alleyne December 9, 2016 at 12:16 pm

    “Not being Political”, Do anyone think this was on the advice of our BLP in order to fully rip the rug from under the DLP.
    Keep trying from home and aboard for a speedy result.

    Reply
  17. Jai Khan
    Jai Khan December 9, 2016 at 2:38 pm

    What are you trying to say here Michelle?

    Reply
  18. BoBoTheClown December 9, 2016 at 2:56 pm

    Some of these bajan dollars are the hard earn dollars of bajan men who have been hoodwinked sweet talking Guyanese madams.They are every where.

    Reply
  19. Omeica Vanessa Richards-Bharath
    Omeica Vanessa Richards-Bharath December 9, 2016 at 3:05 pm

    hahahahhaha

    Reply
  20. Katherine Selman Roach
    Katherine Selman Roach December 9, 2016 at 3:08 pm

    Michelle Allison Lord… If one or two bajan’s may have treated you bad don’t place all in the same category… What about Guyanese treating bajan bad ain’t hearing you complaining about that? Anyways if each of us start to live a ones instead of separate country things will be better.have a great weekend

    Reply
  21. Faye Heather Greenidge
    Faye Heather Greenidge December 9, 2016 at 3:18 pm

    michelle sounds guyanese to me

    Reply
  22. Michelle Allison Lord
    Michelle Allison Lord December 9, 2016 at 3:40 pm

    YES!!!!

    Reply
  23. Feroz Khän
    Feroz Khän December 9, 2016 at 4:45 pm

    If you guys take the time and read the article you would know the reason

    Reply
  24. Carson C Cadogan December 10, 2016 at 8:23 am

    This is also going to have an effect on the Guyana economy as well as the Guyanese will now be exporting much less to Barbados.

    Barbados now has the opportunity to export more to Guyana even though the value of the exports would not be as high as before.

    This would be good news for Bajan farmers who have been complaining of unfair competition from imports from Guyana. For example a local farmer from St. Phillip was in the newspaper moaning the fact that he could not get his local pumpkins sold because of a glut of pumpkins from Guyana.

    This may well be a blessing in disguise for local farmers. I know of a company which last week imported 8000 pounds of Guyanese cucumbers into Barbados. Another company is in the process of importing 10000 pounds of Guyanese water melons this coming week. Lets see how this will play out.

    Reply
  25. Carson C Cadogan December 10, 2016 at 8:36 am

    I can not fault the Guyana Govt. for taking this action.

    This was an untenable situation which could not be allowed to continue indefinitely.

    Especially since Guyana was in the past week designated as a poorer country than Haiti.

    Reply

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