What Is the TTD (Trinidad and Tobago Dollar)?
The Trinidad and Tobago dollar (TTD) is the pro national foreign exchange of the Caribbean island state of Trinidad and Tobago. Similar to the U.S. dollar (USD), it is subdivided into 100 cents.
Shoppers of the TTD often use the prefix “TT$” to differentiate it from other dollar-denominated currencies, related to those of america, Canada, and Australia.
Key Takeaways
- The Trinidad and Tobago dollar is the national foreign exchange of Trinidad and Tobago.
- The island nation has had many currencies all the way through its history, prior to the formal adoption of the TTD in 1964.
- Trinidad and Tobago is a large oil and natural gas exporter. Collectively, its energy sector is accountable for roughly 40% of national gross house product.
Understanding the Trinidad and Tobago Dollar
Trinidad was a Spanish colony from as early as the approaching of Columbus, who visited the island individually in 1498. Its partner island, Tobago, were given right here underneath colonial rule of various Ecu nations, at the side of the Spanish, the British, the French, and the Dutch. Ultimately, each and every Trinidad and Tobago was once British colonies in 1802 and remained so until their independence in 1962. In 1976, they formed the Republic of Trinidad and Tobago, which persists to this present day.
The principle formal foreign exchange used on the islands had been the silver “pieces of 8” money which were now not odd all the way through the Spanish colonies this present day. The ones had been introduced inside the 1500s, following the colonization of the islands by means of Spain.
All over the early and mid-1800s, foreign exchange on the islands was administered by means of personal banks. In this day and age, various currencies had been used, at the side of those of Britain, Mexico, and Columbia. By way of the late 1870s, the discovery of large new supplies of silver resulted in a important devaluation of silver-backed currencies identical to the Spanish pieces of 8. Because of this, British foreign exchange was once further fashionable on the islands.
Following Global Struggle II, Trinidad and Tobago briefly used a shared foreign exchange at the side of other Caribbean nations. In 1964, alternatively, this affiliation was modified by means of the stylish TTD, which continues to be used in recent years.
Monetary growth has been maximum often flat previously 10 years, with GDP emerging at a median price of 0.01% between 2009 and 2019. At the present time the monetary machine of Trinidad and Tobago is driven largely by means of its energy sector. The rustic is a large exporter of petroleum products and liquified natural gas (LNG), and its energy sector is accountable for about 40% of national GDP.
TTD on Forex Markets
By contrast to many alternative Caribbean countries’ foreign exchange, the Trinidad and Tobago dollar is not pegged, as a substitute floating freely towards other currencies. It has six banknotes lately in motion: the purple $1, the green $5, the gray $10, the purple $20, the olive $50, and the blue $100.
The price of the TTD has depreciated quite relative to the USD all over the decade, from roughly 6.15 TTD in line with USD in 2009 to spherical 6.8 TTD in line with USD in 2020. Its inflation price has averaged spherical 6% all over the remaining 10 years, although recent years have confirmed so much lower inflation.
