Brazil

Brazil

From the 1970s onwards, government spending and service of the public
debt were the reasons for high inflation, and the subsequent rise in prices.
Inflation was Brazil's greatest monetary problem until President

Exchange rates: Brazil
reals (R$) per US$1
Jan 2001 1.954
2000 1.830
1999 1.815
1998 1.161
1997 1.078
1996 1.005
Note: From October 1994 through January 14, 1999, the official rate was
determined by a managed float; since January 15, 1999, the official rate floats
independently with respect to the US dollar.
SOURCE: CIA World Factbook 2001 [ONLINE].
Fernando Henrique Cardoso in the mid-1990s adopted measures to slow down government
spending and renegotiate public debt in order to contend with inflationary pressures.
Brazil's currency was constantly devalued against the U.S. dollar. Currency devaluations
generated incentives for the export market, decreasing the trade imbalance caused by debt
payments and excess imports of manufactured goods. Devaluation helped the export market,
which expanded its production when exports were given a price advantage provided by cheaper
products in the world markets, but also represented a burden for domestic consumers who faced
higher prices on imported goods. In the period from 1995 to 2000, the real devalued by approximately
100 percent. In 1995, 1 U.S. dollar was equal to 0.9176 reals. In 2000, 1 U.S. dollar was equal
to 1.8302 reals. The devaluation was largely felt in early 1999, when the central bank of Brazil
adopted a floating exchange rate system. The real then fell by 56 percent from 1998 to 1999.

In the past, Brazil had as many as 9 regional stock exchanges. However, with consolidations
of the stock markets in the early 1990s and the advent of electronic trading, all securities
transactions in Brazil are carried out in São Paulo, at the São Paulo Stock Exchange (BOVESPA).
There are approximately 1,100 companies listed on the São Paulo exchange. The total market
valuation of all listed companies on the São Paulo Exchange was US$228.6 billion in February 2001.
Daily transactions are published in the leading newspapers and are available on the Internet.
BOVESPA is part of the leading technology exchanges, offering electronic and after-hours trading
options. The Rio de Janeiro Stock Exchange is the oldest financial institution in the country,
founded in 1845. The Rio de Janeiro exchange is responsible for all the transactions in government
bonds. Futures transactions are carried out at the Mercantile Futures Exchange (BM&F). Located in
São Paulo, the BM&F has been operating since 1986 and is used mainly by coffee, beef, and cattle
producers and buyers.

GDP per Capita (US$)
Country 1975 1980 1985 1990 1998
Brazil 3,464 4,253 4,039 4,078 4,509
United States 19,364 21,529 23,200 25,363 29,683
Argentina 7,317 7,793 6,354 5,782 8,475
Colombia 1,612 1,868 1,875 2,119 2,392
SOURCE: United Nations. Human Development Report 2000; Trends in human development and per capita income.

Bouvet Island

Bouvet Island

Botswana

Botswana

The Botswana pula has traditionally had a similar exchange rate to the

South African rand, which meant that goods sold for almost the same price

in both countries.

Exchange rates: Botswana

pulas per US$1

Jan 2001 5.4585

2000 5.1018

1999 4.6244

1998 4.2259

1997 3.6508

1996 3.3242

SOURCE : CIA World Factbook 2001 [ONLINE].

During the late 1990s the pula was much stronger than the rand, resulting in

South African products becoming relatively cheaper when purchased in pula.

Botswana could afford to import more South African products. The stronger

pula relative to the rand also meant that foreign investors found Botswana

a more attractive place to invest money. However, during the same time period

the pula gradually lost its value against the U.S. dollar, meaning that imports

valued in U.S. dollars, such as those from the United States it

self as well as from

many other countries, were more expensive. But Botswana's exports, especially diamonds,

were cheaper for American and European buyers.

The Botswana Stock Exchange, established in 1995, had 22 companies listed in 2001,

including 6 South African companies.

Bosnia and Herzegovina

Bosnia and Herzegovina

After the ethnic leaders failed to agree on a new currency, the UN introduced in 1998 a

new currency, the

Exchange rates: Bosnia

marka per US$1

Jan 2001 2.086

2000 2.124

1999 1.837

1998 1.760

1997 1.734

1996 0.015

SOURCE: CIA World Factbook 2001 [ONLINE].

convertible mark. The convertible mark was fixed to the German mark. It gained acceptance,

and the Central Bank of Bosnia and Herzegovina increased its reserves. Yugoslav dinars still

circulate in the Serb Republic, and the Croatian kuna is used in the Croat areas of the Federation.

The government is still hoping to increase its capitalization by pressing for the privatization

of the numerous small commercial banks. Raiffeisen Zentralbank Oesterreich, an Aus

trian bank,

recently acquired many banks, including the Market Banka. The Austrian bank has also submitted

privatization papers to the government bank privatization unit. It is not clear whether this will

attract foreign attention, because the banking sector is weak and the economy is being reconstructed

slowly.

Bolivia

Bolivia

The Bolivian currency has had severe fluctuations as a consequence of the Chaco

War (1932-35); the 1952 revolution with its drastic economic, political, and

social reforms; and the collapse of much of the mining industry, especially tin

extraction and export. In 1975, the boliviano was devalued by 66 percent (US$1=Bs20.40).

In 1979, there was a further 25 percent devaluation. By 1982, the Bolivian currency had

totally collapsed, and until 1985 Bolivia suffered hyperinflation, one of the worst cases

in recent world history. Inflation reached 23,000 percent with US$1 traded at Bs1,055,000.

In 1985, strong economic measures were undertaken to reconstruct the Bolivian economy and

its currency. Currently it is one of the most stable currencies in Latin America, with a free

floating exchange rate and pegged to the U.S. dollar. Inflation has declined from 13 percent to

3 percent in 1999. In March 2001, US$1=Bs6.48. (In 1995, it was Bs4.86.) The U.S. dollar circulates

freely and is generally accepted as payment, mainly in urban areas.

Bolivia has about 18 private banks, some with links to foreign banks such as Citibank.

The Banco Central (Central Bank), established in 1929 but with roots going back to 1871,

is a semi-independent government agency. Its mandate is to implement the Bolivian government's

fiscal and monetary policies, including issuing the currency. Its governing board is nominated

by the president of the Republic, and it needs the approval of two-thirds

Exchange rates: Bolivia

bolivianos per US$1

Jan 2001 6.4071

2000 6.1835

1999 5.8124

1998 5.5101

1997 5.2543

1996 5.0746

SOURCE: CIA World Factbook 2001 [ONLINE].

of the elected representatives of the lower chamber. Terms are staggered, and the term of

the president of bank cannot coincide with the term of the president of the Republic. The

Banco Central and some private banks have recently received praise from international agencies

for their stability and fiscal soundness.

There is a small Bolivian Stock Exchange which was started in 1989, but there is no

published index of stock prices. In 1989, the exchange's transactions came to Bs4.3

billion but only to Bs3.9 billion in 1999. The exchange deals mostly with fixed-income

securities. It is expected that the stock exchange will grow and become more important and visible.

Bhutan

Bhutan

The widespread use of money in Bhutan only began in the early 1960s with the growth of trade

with India and the initiation of bilateral development aid from India to Bhutan. Even though

Bhutan's economy is highly

Trade (expressed in billions of US$): Bhutan

Exports Imports

1975 N/A N/A

1980 .017 .050

1985 .022 .084

1990 .068 .078

1995 .103 .112

1998 N/A N/A

SOURCE: International Monetary Fund. International Financial Statistics Yearbook 1999.

Exchange rates: Bhutan

ngultrum (Nu) per US$1

Jan 2001 46.540

2000 44.942

1999 43.055

1998 41.259

1997 36.313

1996 35.433

Note: The Bhutanese ngultrum is at par with the Indian rupee which is also legal tender.

SOURCE: CIA World Factbook 2001 [ONLINE].

underdeveloped the price of consumer goods has remained fairly stable. The average percentage

change of prices each year was only 10 percent between 1990 and 1998. Total international

currency reserves by major Bhutanese holders (mainly the Royal Monetary Authority, Bank of

Bhutan, and Bhutan National Bank) rose dramatically in value from US$106.9 million in 1993-94

to US$218.2 million in 1997-98.

Two banks operate in the country: the Bhutan National Bank has offices in Thimpu and a branch

in Phuentsholing, and the Bank of Bhutan has branches in the country's main centers. No restrictions

are placed on the quantity of currencies that can be taken into Bhutan although they are limited to

the main international currencies. In the late 1990s Bhutan National Bank was partly privatized when

the government sold 40 percent of its shares to Citibank and the Asian Development Bank; the

government now owns only 27 percent of the bank. Bhutan has a stock exchange but it is not open

to external investment.

Bermuda

Bermuda

The currency of Bermuda is the Bermuda dollar. There are 100 cents to

the dollar. The Bermuda dollar is pegged to the US dollar on a 1-to-1 basis.

Both currencies are equally acceptable at all establishments. The US dollar

is therefore the currency of choice since any remaining cash is exchangeable

almost anywhere in the world; a situation which is not true for the Bermuda dollar.

Ensure you change all Bermuda currency, other than that required for novelty purposes,

into US dollars before you leave Bermuda. There are no currency restrictions

in force when

leaving Bermuda.

Benin

Benin

Benin is part of the 8-member UEMOA, and the currency is the CFA franc. The Banque Centrale des Etats de l'Afrique de l'Ouest (BCEAO) issues currency notes and regulates credit expansion. The CFA franc was pegged at a fixed exchange rate to the French franc at 50:1 from 1948 but was overvalued in the late 1980s and subsequently devalued to CFA Fr 100 to 1 French franc in 1994. Since France joined European Monetary Union, the CFA franc is tied to the euro at CFA Fr655.959:Euro 1.

Benin is burdened with a huge foreign debt of more than US$1.6 billion, although the country's major creditors are working with the Paris Club (an informal organization made of various creditor companies and countries), the IMF, and the World Bank to help it manage its obligations.

Exchange rates: Benin
Communaute Financiere Africaine francs (CFA Fr) per US$1
Jan 2001	699.21
2000	711.98
1999	615.70
1998	589.95
1997	583.67
1996	511.55
Note: From January 1, 1999, the CFA Fr is pegged to the euro at a rate of 655.957 CFA Fr per euro.
SOURCE : CIA World Factbook 2001 [ONLINE].

Belize

Belize

The Central Bank of Belize regulates the primary financial mechanisms of the

country, setting liquidity and cash reserve requirements and determining the

interest rate structure. The Central Bank also regulates most forms of foreign

exchange in the country. At the end of September 1996,

after receiving a US$20

million loan from Taiwan and issuing a US$10 million regional bond, international

reserves in Belize reached an all-time high of US$79 million. Budget controls and

high reserves in the early 1990s gave way to increased spending and

Exchange rates: Belize

Belizean dollars (Bz$) per US$1

2001 2.000

2000 2.000

1999 2.000

1998 2.000

1997 2.000

1996 2.000

Note: Fixed rate pegged to the US dollar.

SOURCE: CIA World Factbook 2001 [ONLINE].

widening government deficits in 1997-98, putting pressure on Belize's fixed exchange

rate with the United States. Reserves fell sharply, dwindling to US$43 million by 1998.

The declines were reversed in 1999 due to increased borrowing and larger inflows of foreign

exchange stemming mainly from the sale of home mortgages to the Royal Merchant Bank of Trinidad.

By the end of 1999 monetary reserves had rebounded to US$70.2 million.

Belgium

Belgium

Through BLEU, Belgium and Luxembourg linked their currencies in 1921. Although the

Belgian franc has declined in relation to the U.S. dollar, it has maintained its

value against major European currencies. In 1995, 1 U.S. dollar was equal to 29.48

francs, but by 1999, 1 dollar equaled 34.77 francs. In 1999, Belgium joined the EMU

that created a single currency, the euro, for all of the EU nations. The euro is fixed

at a rate of 40.3399 francs per euro. Since its introduction, the euro has been weak against

the dollar. In 2000, 1 U.S. dollar equaled 0.9867 euros (when the euro was introduced it was

equal to $1.1789). The euro was only used in non-cash forms

(such as electronic payments and transfers) until January of 2002, when euro coins and

notes were issued and national currencies were phased out.

The Belgian National Bank acts as the state bank. It prints and issues the nation's

currency and acts as the lender of last resort in certain credit operations. The bank

also manages monetary policy by controlling interest rates. The Banking Commission oversees

the operations of the nation's banks while the Finance Ministry regulates credit institutions.

In September of 2000, the Brussels stock exchange merged with the exchanges of Amsterdam and

the Paris Bourse exchange to form Euronext. The new stock exchange is the first truly

transnational exchange that combines stock, derivative, and commodity trading. The new

exchange lists 1,861 different companies and has a value of 1.1 trillion euros. The merger

will streamline trading and reduce transaction costs. It will also save approximately

50 million euros per year. The exchange also increases the transparency of stocks and

gives investors greater cost comparisons. The stock-trading component of Euronext is

divided into 3 broad areas: blue

Exchange rates: Belgium

euros per US$1

Jan 2001 1.0659

2000 1.0854

1999 0.9386

1998 36.229

1997 35.774

1996 30.962

Note: Amounts prior to 1999 are in Belgian francs per US dollar.

SOURCE: CIA World Factbook 2001 [ONLINE].

GDP per Capita (US$)

Country 1975 1980 1985 1990 1998

Belgium 18,620 21,653 22,417 25,744 28,790

United States 19,364 21,529 23,200 25,363 29,683

Germany N/A N/A N/A N/A 31,141

France 18,730 21,374 22,510 25,624 27,975

SOURCE: United Nations. Human Development Report 2000; Trends in human development

and per capita income.

chip traditional industrial companies, high tech stocks, and traditional securities.

The new multinational exchange is actively seeking further integration and consolidation

and may merge or absorb additional national exchanges.

In order to become a member of EMU, Belgium had to maintain low inflation. The government

took steps that kept inflation low—as low as 1 percent in 1999. Low prices on imported

goods are likely to aid efforts to keep inflation low for the foreseeable future.

Belarus

Belarus

Annual inflation in Belarus, as measured by changes in consumer price inflation,

or CPI, has been very high during

the 1990s. It stood at 294 percent by the end of 1999. There were several reasons

behind the inflationary pressure on the economy. The 1998 Russian monetary crisis

had a negative effect on the Belarusian ruble due to the dependence of the Belarusian

economy on Russia. Government subsidies to several sectors of the economy

(such as agriculture and housing) supported bad lending practices, poor weather

conditions caused low agricultural production, and the government's periodic

expansion of the money supply caused a devaluation of the Belarusian ruble.

In February 1993 Belarus set up the Inter-Bank Currency Exchange which is

the main trading forum of the legal currency market. Trades are performed

in 4 main currencies: the U.S. dollar, the German mark, the Russian ruble,

and the Ukrainian grivna. The Russian financial crisis of 1998 forced the

Belarusian ruble to depreciate against the Russian ruble and the U.S. dollar.

In April 2000 the exchange rate stood at BR435 to US$1. The depreciation of the

Belarusian currency continued to accelerate in the following months, reaching a

whopping BR1,247 to US$1 by mid-February 2001.

Exchange rates: Belarus

Belarusian rubles per US$1

2000 1,180

Dec 1999 730,000

Jan 1999 139,000

1998 46,080

1997 25,964

1996 15,500

Note: On January 1, 2000, the national currency was redenominated at onenew

ruble to 2,000 old rubles.

SOURCE: CIA World Factbook 2001 [ONLINE].

GDP per Capita (US$)

Country 1975 1980 1985 1990 1998

Belarus N/A N/A N/A 2,761 2,198

United States 19,364 21,529 23,200 25,363 29,683

Russia 2,555 3,654 3,463 3,668 2,138

Ukraine N/A N/A N/A 1,979 837

SOURCE: United Nations. Human Development Report 2000; Trends in human development

and per capita income.

Barbados

Barbados

Regular economic growth and low inflation marked most of the 1990s for Barbados,

but by the end of the decade there were anxieties over another possible recession.

Consumption of imported goods was too high in relation to export earnings, and credit

was too easily available to consumers; therefore, in 1999,

the government raised interest rates in an attempt to restrain spending. The Barbadian

dollar, which has long been pegged to the U.S. dollar at a rate of BDS$2.000:US$1, is

probably overvalued, but it would be extremely difficult for any government to devalue

the currency, as so many basic items are imported from the United States.

There is a small local securities exchange, the Securities Exchange of Barbados,

founded in 1991, which had a market capitalization of US$2 billion at the end of 1999.

Most larger local companies are listed for share trading, together with several companies

from Trinidad & Tobago and Jamaica.

Bahrain

Bahrain

The exchange rate of the Bahraini dinar is fixed to the U.S. dollar, which means

that developments in the American economy have repercussions for Bahrain. Bahrain's

central bank is the Bahrain Monetary Agency (BMA), an independent organization praised

for its adherence to international standards.

Trade (expressed in billions of US$): Bahrain

Exports Imports

1975 1.107 1.189

1980 3.606 3.483

1985 2.897 3.107

1990 3.761 3.712

1995 4.113 3.716

1998 N/A 3.463

SOURCE: International Monetary Fund. International Financial Statistics Yearbook 1999.

Trade (expressed in billions of US$): Bahrain

Exports Imports

1975 1.107 1.189

1980 3.606 3.483

1985 2.897 3.107

1990 3.761 3.712

1995 4.113 3.716

1998 N/A 3.463

SOURCE : International Monetary Fund. International Financial Statistics Yearbook 1999.

Exchange rates: Bahrain

Bahraini dinars (BD) per US$1

2001 0.3760

2000 0.3760

1999 0.3760

1998 0.3760

1997 0.3760

1996 0.3760

Note: Fixed rate pegged to the US dollar.

SOURCE: CIA World Factbook 2001 [ONLINE].

The Bahrain Stock Exchange (BSE) opened in 1989, and in 1995 Bahrain and Oman signed an

agreement linking their stock exchanges. The link-up allows cross-listing of companies

on both exchanges, which between them have 110 listed companies with a total market

capitalization of US$8.1 billion. In 1996, the Bahraini and Jordanian stock exchanges

linked up, and the BSE also has links with the Sri Lankan and Bangladeshi exchanges and

plans to link up with the Bombay Stock Exchange.

Bangladesh Currency

Bangladesh Currency

At present the overall economic condition of the globe is not of good shape at all

and the world is facing this type of economic disaster for the first time after a long

period. The first world countries are facing this problem very strongly. Basically after

the incident of 1/11 in USA, the economic crisis began to start and it affected the whole

global economic condition very slowly. The main reason of this crisis is, the overall economic

activities of USA are very much related to the whole world, as its economy is controlling economy

of the world.

Basically, the western world people are very much familiar with the credit card facilities and

the financial intermediaries of that region are very much active for providing this type of facility

to the general people by taking a lot of risk. They only believe in “Risk is proportional to return”

and this belief back-fired them and most of the high risk taking financial intermediaries of that

region faced bankruptcy. This is just because of very aggressive marketing strategy of those financial

intermediaries. They provided loans to the general ultimate consumers very aggressively and could not get

it back in the due time that means they provided a lot of flexibility to the customers and their recovery

strategy was not so much aggressive. In other words, we can say that the monitoring activities of the central

bank of that particular region was not that much strong or rude to recover the provided loans to the customers.

They also believe that they have got asset but not enough liquid money and that is why they took risk and the result

is the present odd situation.

Bangladesh is also starting to face the economical disaster situation, as it is getting grants from the

first world countries as well as from their controlled international organization like – WHO, World Bank,

UNDP, UNICEF, WTO, IMF and some others. These welfare organizations are starting to stop funding in various

less important projects that are already running or going to be started to run in this developing country.

Besides, the people outside Bangladesh who are basically Bangladeshis are sending less remittance than the

recent past. It causes less money supply in the inside overall economy of this country (Bangladesh).

As our country is partly dependent on the foreign remittance, we face a lot of problem for the less amount

of foreign remittance. Moreover, our export volume is also becoming smaller and smaller for the global economic

crisis, which also shorten our incoming foreign currency and it also affects the overall money supply of the country.

Not only that, the first world people is also trying to avoid buying high graded consumer products that means luxury

products and they also want to buy the existing market products in the lesser amount than the recent previous time

and that is why the bidding price that the garment factories of Bangladesh have got from the outside agents is also

becoming lower and it affects the profit margin of them as well as their sustainability.

For the global economic crisis, many Bangladeshi people, who are working in the foreign countries,

are loosing jobs and they are coming back to their motherland. Besides, many other Bangladeshi

people are in the pipeline to loose their running jobs. So, as a whole, we are going to face a

very big problem in the upcoming very recent future years.

bahrain currency

bahrain currency

In economics, the term currency can refer either to a particular currency, for

example the US Dollar, or to the coins and banknotes of a particular currency,

which comprise the physical aspects of a nation’s money supply. The other part

of a nation’s money supply consists of money deposited in banks (sometimes called

deposit money), ownership of which can be transferred by means of cheques (in English)

or checks (in American English), or other forms of money transfer such as credit and

debit cards. Deposit money and currency are ‘money’ in the sense that both are acceptable

as a means of exchange, but money need not necessarily be ‘currency

Historically, money in the form of currency has predominated. Usually (gold or silver) coins of intrinsic value commensurate with the monetary unit (commodity money), have been the norm. By contrast, modern currency, as fiat money, is intrinsically worthless. The prevalence of one type of currency over another in commodity money systems has arisen, usually when a government designates through decrees, that only particular monetary units shall be accepted in payment for taxes.