Dual Currency Circulation in Haiti, US Dollar and the Gourde: An Analysis by the BRH
Dr. Eddy N. Labossière In an analysis of the dual circulation of the Haitian Gourde and the US Dollar, the BRH states that the loss of confidence in the gourde is explained by the deterioration of political governance, persistent insecurity, and the growing dependence of households on transfers from the Haitian diaspora, which represents approximately
By La Rédaction · Port-au-Prince · · 3 min read · Updated 24 April 2026
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Dr. Eddy N. Labossière
In an analysis of the dual circulation of the Haitian Gourde and the US Dollar, the BRH states that the loss of confidence in the gourde is explained by the deterioration of political governance, persistent insecurity, and the growing dependence of households on transfers from the Haitian diaspora, which represents approximately 17% of the gross domestic product (GDP). This phenomenon has led to a predominance of the dollar in exchanges, both in the private and public sectors, where it is now used for salary payments, commercial contracts, and even routine banking operations.
To counter this trend, the BRH adopted circular no. 114-1, requiring financial institutions to convert funds received in dollars into gourdes at the daily exchange rate, with the aim of protecting the beneficiaries of these transfers and preserving foreign currency reserves. It can be noted, however, that dollarization has structural repercussions: in 2024, approximately 66% of bank deposits were held in foreign currencies, which reduces the Central Bank's room for maneuver in the event of a financial crisis and requires greater vigilance from households regarding exchange rate risk.
To stop potential adverse effects and to maintain confidence in the gourde, the BRH has focused on rigorous budgetary discipline while maintaining major macroeconomic balances.
In Haiti, concrete measures have been taken: credit cards are now billed in gourdes, consumer loans in dollars are prohibited, and government bonds are issued in local currency.
Furthermore, the BRH is very explicit that to solve the problem of dual currency circulation in Haiti, a sustainable transformation is needed, requiring a stable political and economic environment capable of restoring the confidence of economic actors. The BRH report concludes by stating: "The revitalization of the gourde is a prerequisite for the protection of monetary sovereignty and resilience to external shocks." The BRH insists on the need for close coordination between monetary and fiscal authorities, as well as the implementation of structural reforms to strengthen governance and attract foreign investment.
CONCLUSION
The BRH has a good understanding of the problem posed by the dual currency circulation in Haiti, the gourde and the US dollar, and the measures taken are appropriate.
We agree with the BRH that the country must regain the five lost levels of governance. Let us specify that today Haiti has lost its economic, political, institutional, social, and even environmental governance. To restore the gourde to its rights, as the sole legal tender in Haiti, good governance is essential. We also state that good coordination between the budgetary and monetary policies of the authorities is indispensable to avoid fiscal dominance. Let us also add that the BRH must take other courageous measures to strengthen confidence in the gourde, including the suspension of the 1989 decree allowing the opening of US dollar accounts in chartered or commercial banks. Ultimately, the BRH must prevent, today in 2025 in Haiti, bad money from driving out good money, as its mission is not only price stabilization but also to defend the internal and external value of the Gourde.
We agree with the BRH that the country must regain the five lost levels of governance. Let us specify that today Haiti has lost its economic, political, institutional, social, and even environmental governance. To restore the gourde to its rights, as the sole legal tender in Haiti, good governance is essential. We also state that good coordination between the budgetary and monetary policies of the authorities is indispensable to avoid fiscal dominance. Let us also add that the BRH must take other courageous measures to strengthen confidence in the gourde, including the suspension of the 1989 decree allowing the opening of US dollar accounts in chartered or commercial banks. Ultimately, the BRH must prevent, today in 2025 in Haiti, bad money from driving out good money, as its mission is not only price stabilization but also to defend the internal and external value of the Gourde.
