2 ms·
> El Salvador uses the US dollar after a disastrous bout of inflation. I don't recall El Salvador having a disastrous inflation. I believe Ecuador was the coun
by el-salvador 4y ago
> El Salvador uses the US dollar after a disastrous bout of inflation.
I don't recall El Salvador having a disastrous inflation. I believe Ecuador was the country that dollarized after a currency collapse, but not El Salvador.
The USD/Salvadoran Colón exchange rate was 2.50 from 1934 up to 1980. There was some devaluation during the civil war. And then it stabilized at around 8.75 since the mid 1990s. Then we got dollarized in 2001. '
The exchange rate is still pegged at 8.75 since then. As the Colón is still used in some older laws and banks still exchange old Colón banknotes in some branches.