Definitions for dollarization
ˌdɒl ər əˈzeɪ ʃəndol·lar·iza·tion

WiktionaryRate this definition:0.0 / 0 votes

1. dollarizationnoun

   The process of a country adopting the US dollar or other foreign currency in parallel to or instead of the domestic currency.

WikipediaRate this definition:0.0 / 0 votes

1. dollarization

   Currency substitution is the use of a foreign currency in parallel to or instead of a domestic currency. The process is also known as dollarization or euroization when the foreign currency is the dollar or the euro, respectively. Currency substitution can be full or partial. Full currency substitution can occur after a major economic crisis, such as in Ecuador, El Salvador, and Zimbabwe. Some small economies, for whom it is impractical to maintain an independent currency, use the currencies of their larger neighbours; for example, Liechtenstein uses the Swiss franc. Partial currency substitution occurs when residents of a country choose to hold a significant share of their financial assets denominated in a foreign currency. It can also occur as a gradual conversion to full currency substitution; for example, Argentina and Peru were both in the process of converting to the U.S. dollar during the 1990s.

WikidataRate this definition:0.0 / 0 votes

1. Dollarization

   Dollarization occurs when the inhabitants of a country use foreign currency in parallel to or instead of the domestic currency as a store of value, unit of account, and/or medium of exchange within the domestic economy. The term is not only applied to usage of the United States dollar, but generally to the use of any foreign currency as the national currency. There are two common indicators of dollarization. The first one is the share of foreign currency deposits in the domestic banking system in the broad money including of FCD. The second measure is the share of all foreign currency deposits held by domestic residents at home and abroad in their total monetary assets. According to Fields & Vernengo, the expression of ‘dollarization’ has at least two different meanings. In the narrow sense, it refers to massive currency substitution, in which a country, most likely a developing one, supplements its domestic reserve assets with a foreign currency, more often than not the United States dollar or, in some cases, the euro. Note that currency substitution could be complete and might even imply the elimination of a domestic token as legal tender. Full dollarization in that sense has taken place in small countries, mostly in Latin America, the Caribbean and the Pacific which are heavily dependent on the United States. Dollarization, in this sense, is the exemplification of a country foregoing its national ‘monetary sovereignty’. In the broader sense, dollarization can refer to US hegemony in the world economy as a result of the US dollar being the medium of exchange and unit of account in international markets. Of particular importance in this context is the fact that the key international commodities, including oil, are priced in US dollars in international markets.

How to pronounce dollarization?

1. Alex

   US English

   David

   US English

   Mark

   US English

   Daniel

   British

   Libby

   British

   Mia

   British

   Karen

   Australian

   Hayley

   Australian

   Natasha

   Australian

   Veena

   Indian

   Priya

   Indian

   Neerja

   Indian

   Zira

   US English

   Oliver

   British

   Wendy

   British

   Fred

   US English

   Tessa

   South African

How to say dollarization in sign language?

Numerology

1. Chaldean Numerology

   The numerical value of dollarization in Chaldean Numerology is: 1

2. Pythagorean Numerology

   The numerical value of dollarization in Pythagorean Numerology is: 3

Examples of dollarization in a Sentence

1. Shahar Hameiri:

   There's not going to be any full-throated embrace of Russia( at The BRICS summit), there's no doubt about it, and I'm sure there's gon na be plenty of awkwardness there... but behind the awkwardness( de-dollarization) is one area where these governments do have a shared interest, any kind of meaningful steps away from( a US dollar-denominated system) are potentially significant.

2. Governor John Mangudya:

   The decommissioning of the Zimbabwean dollar has therefore been pending and long outstanding since 2009, we cannot have two legal currency systems. We need therefore to safeguard the integrity of the multiple-currency system or dollarization in Zimbabwe.

3. Mariana Sarasti:

   Ecuador has an additional problem, which is dollarization, but it seems to us this is not the way to deal with the problem they have with the dollarized currency.

4. Anna Kireeva:

   Of all foreign currencies that the Russian [central] bank had its reserves in, it is only Chinese yuan that was not frozen and remains a ‘friendly’ one, we are likely to see further de-dollarization of Russia’s foreign trade in general and [an] increasing share of trade in national currencies with all states that are friendly or neutral to Moscow.

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References

1. ^ Wiktionary
   https://en.wiktionary.org/wiki/Dollarization
2. ^ Wikipedia
   https://en.wikipedia.org/wiki/Dollarization
3. ^ Wikidata
   https://www.wikidata.org/w/index.php?search=dollarization