Gambia Dalasi (GMD)
19 hours agoThe Gambian Dalasi (GMD) serves as the official currency of The Gambia, a small nation located in West Africa. Introduced in 1971, the Gambian Dalasi replaced the Gambian Pound at an exchange rate of 5 Dalasis for every 1 Gambian Pound. The Central Bank of The Gambia is tasked with the issuance and management of the Gambian Dalasi.
The Gambian Dalasi functions under a managed floating exchange rate system, where its value against other currencies is influenced by market dynamics, including supply and demand. The Central Bank of The Gambia may intervene in the foreign exchange market when necessary to ensure stability or to mitigate excessive fluctuations. This approach enables the Gambian Dalasi to adapt to external shocks and shifts in global market conditions while maintaining a degree of stability.
The Gambian Dalasi is divided into 100 smaller units known as bututs. Coins are available in denominations of 1, 5, 10, 25, and 50 bututs, along with 1 Dalasi coins. Banknotes are issued in denominations of 5, 10, 20, 50, 100, and 200 Dalasis.
The economy of The Gambia is primarily reliant on agriculture, tourism, and remittances. Agriculture, especially groundnut production, is the backbone of the economy and provides jobs for a large segment of the population. Tourism also plays a significant role, drawing visitors to the country’s beaches, wildlife, and cultural heritage. Additionally, remittances from Gambians living abroad are vital for the economy and serve as an essential source of foreign exchange.
However, The Gambia faces several economic challenges, including a small and undiversified economy, susceptibility to external shocks, and high rates of poverty and unemployment. The country is also impacted by fluctuations in global commodity prices, particularly for groundnuts, and relies heavily on foreign aid to fund development initiatives. The Gambian government is actively pursuing policies aimed at fostering economic growth, diversifying the economy, and addressing social issues.
In conclusion, the Gambian Dalasi is the official currency of The Gambia, managed by the Central Bank of The Gambia. It operates under a managed floating exchange rate system, with its value shaped by market forces and potential interventions from the Central Bank. The Gambian Dalasi is subdivided into bututs and is available in various banknote and coin denominations. The Gambia’s economy is mainly based on agriculture, tourism, and remittances, yet the country grapples with challenges stemming from its small and undiversified economy, vulnerability to external shocks, and high levels of poverty and unemployment.
Recommendation
G10
G10 refers to "The Group of Ten," which is a coalition of 11 industrial nations that convene annually to discuss economic, monetary, and financial issues.
G15
The Group of Fifteen (G15) was formed during the Ninth Non-Aligned Summit Meeting held in Belgrade, then part of Yugoslavia, in September 1989. It consists of nations from Latin America, Africa, and Asia that share a common objective of promoting growth and prosperity.
G20
The G20 is an international forum comprising the governments and central bank governors of 19 countries and the European Union. Commonly known as the Group of Twenty, it serves as a platform for Central Bank Heads and Finance Ministers to address significant global economic challenges. Established in 1999, the G20 was designed to unite the world's major industrialized and developing economies to discuss international economic and financial stability. The annual summit, which began in 2008, has become a key venue for dialogue on economic matters and other urgent global issues. Although it is not an official regulatory body, the G20 wields considerable influence in international finance, often leading to reforms that shape the global economic and monetary landscape. In both prosperous and crisis times, the G20 is regarded as a cornerstone of the global financial community and a leading decision-making entity.
G5
The Group of Five (G5) consists of five nations that have united to play an active role in the swiftly changing international landscape.
G7
The G7, or "Group of Seven," consists of seven major industrialized nations. It was formerly known as the G8 (Group of Eight) until 2014, when Russia was excluded following its annexation of Crimea from Ukraine. The G7 includes the leading industrial nations: the United States, Germany, Japan, France, the United Kingdom, Canada, and Italy.
G77
The Group of Seventy-Seven (G77) was formed on June 15, 1964, through the “Joint Declaration of the Seventy-Seven Developing Countries,” which was released at the conclusion of the inaugural session of the United Nations Conference on Trade and Development (UNCTAD) in Geneva.