Adopting a Currency in Post-Conflict Environments: The Case of Timor-Leste
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Authors
Amara, Jomana
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Date of Issue
2013-05-20
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Abstract
A major part of rebuilding a nation’s economy in the aftermath of conflict is the creation of a viable, credible, and
sustainable currency system that will lead to macroeconomic stability. Emerging nations have three major
options in setting their currency:
1. Adopting a foreign currency such as the dollar for all official transactions
2. Continuing with the currency currently in circulation, often the currency of an adversary
3. Creating a national currency
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Article
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United States Institute for Peace, International Network for Economics and Conflict
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Business & Public Policy (GSBPP)
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This publication is a work of the U.S. Government as defined in Title 17, United States Code, Section 101. Copyright protection is not available for this work in the United States.