dollarization

Popular Terms
A type of scenario whereby the currency of a foreign country is used as legal tender by another country's citizens because the alternate country's currency value is more stable than the currency normally used in the domestic country.

Use 'dollarization' in a Sentence

Since the american dollar is so stable, often times countries will follow dollarization, and simply accept dollars instead of their own money.
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Due to the ongoing government destabilization, the factory engaged in dollarization, with the stable neighboring country, when pricing its goods.
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What makes full dollarization so attactive is elimination of the risk of a sudden, sharp depreciation of the country's exchange rate.
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