If you are getting ready to leave to spend some much needed time in the sun in Barbados, you may be wondering about the preferred currency in Barbados. If you are traveling from America you might be hoping to just use US dollars in conjunction with your credit cards, but can you use US dollars in Barbados? What is the best currency for Barbados?
The best currency to use while in Barbados is the Barbadian dollar. This will make transactions easier. Despite that, yes, US dollars are widely accepted around Barbados, but expect your change to be in Barbadian currency. Because of that, you may lose a little in exchange fees.
In this article we will discuss the best currency for Barbados in further detail, discussing these various topics:
- What is the official currency of Barbados?
- Can you use US dollars in Barbados?
- What is the best currency for Barbados? And why?
- How to exchange money in Barbados
- Does Barbados accept Canadian Dollars?
- Does Barbados accept Euros?
What is the Official Currency of Barbados?
The official currency of Barbados is the Barbadian Dollar. The current exchange rate between the US dollar and the Barbadian dollar is approximately 1 US Dollar equals 2 Barbadian dollars (source).
The Barbadian Dollar (also called the Bajan dollar) has been in use since 1935. In most cases, amounts are written using the same $ that the US uses. It is also often written as Bds$.
The currency uses very similar coin and bill denominations as US dollar:
- 1 cent
- 5 cent
- 10 cent
- 25 cent
- $1
- $2
- $5
- $10
- $20
- $50
- $100
Can you use US Dollars in Barbados?
As we discussed earlier in the article, yes, in most situations businesses throughout Barbados will accept U.S. dollars. The majority of restaurants, hotels, and stores will allow the use of US dollars and the use of major credit cards issued in the United States.
When it comes to using US dollars in Barbados, the current exchange rate is 2 Bajan dollars equal 1 US dollar. But you can expect some businesses to short you on the exchange rate, which is one of the main reasons why using Bajan dollars while in Barbados just might make it easier.
Paying with USD in Barbados does not guarantee one’s change will be given in USD (in fact, most all change will be in Bajan dollars). Many businesses may keep a little extra in the exchange process, and instead of giving you 2:1 on you exchange, they may give you 1.98:1, or something similar.
This isn’t the end of the world, but do expect to lose a little in those currency-for-currency exchanges. Also, this means you will have a wallet full of both types of currencies.
What is the Best Currency for Barbados?
As we discussed earlier in the article, my recommendation as the best currency for Barbados is the Barbadian (Bajan) dollar. I always recommend using the currency of the host country whenever possible just to make things easier on everyone.
Yes, many businesses in Barbados accept US Dollars, especially those around the tourist areas. But if you venture away from the tourism, there is a reasonable chance you might encounter a local business that does not accept US dollars.
Regardless, expect almost all of your change for US dollars to come in Bajan dollars. Using Bajan dollars whever possible will make transactions easier.
That said, many people do travel to Barbados and use US dollars and credit cards. So if that is the route your would prefer to use, then go ahead and do it. Dollars and coins can be exchanged at any bank on the island.
You can also use ATMs to withdraw Bajan dollars while on the island. Using ATMs in safe locations is probably the best way to withdraw Bajan dollars – some physical exchange locations may charge a fee for the exchange.
Some local shops and restaurants throughout Barbados may be quite happy to accept U.S. currency, especially if they are low on US currency. Again, if you choose to pay with US dollar while in Barbados, you likely will not encounter much issue except for possible exchange fees when you change comes in Bajan dollars.
And of course you can use major credit cards as well, but be sure to check with your credit card company or bank to be certain that your card won’t be flagged while in a foreign country. Even though most businesses on the island accept credit and debit cards, expect a possible small fee for card payments.
How to Exchange Money in Barbados?
Exchanging money in Barbados can be done at the airport and at any one of the many money exchange businesses scattered around the island. Most locals recommend choosing a bank or other money exchange business over the airport.
One may have to pay undesirable fees if they choose to exchange their money at the airport. In general, visitors are advised that simply withdrawing money from a Barbados ATM is a quicker way of obtaining the local currency. Those who withdraw money from a bank may have to show their passport in order to get it.
Does Barbados accept Canadian Dollars?
Most places in Barbados will not accept Canadian currency, so plan on exchanging your Canadian dollars for US dollars or Barbadian dollars. There are several Canadian banks that have locations in Barbados, so check to see if yours is one of them.
Does Barbados accept Euros?
No, do not expect your Euros to be accepted in Barbados. You will need to exchange Euros for the local Barbadian dollar.
My advice would be to research to see if it would be cheaper to exchange with your bank prior to leaving, or to exchange at an ATM or bank once on the island. Exchanging prior may help cut down on some of your hassle once you reach the island.
3 Barbados Currency Tips
Using currency in Barbados doesn’t have to be difficult. The more one understands about it before they embark on their trip, the better.
Knowing where and how to access the money is crucial to the enjoyment of the Barbados vacation experience. Here are three tips for using the island’s currency:
- Once you reach the island, locate a safe ATM that you can use for withdrawing local Barbadian currency if needed. Your hotel staff should be able to direct you to a secure ATM location – the hotel may have one on site.
- Don’t overlook the importance of using travelers checks in Barbados. Visitors can acquire these checks from their bank before leaving home. Many times, this allows visitors to take advantage of a better exchange rate than they would get otherwise.
- While it is acceptable to use credit cards during a visit, many locals advise against heavy credit card use. Certain cards will impose expensive fees due to where they are being used. Also, always check with your credit card company to make sure your card won’t be flagged when used abroad.