North America is a continent of economic diversity and global financial power. It includes some of the richest nations in the world, such as the United States and Canada, as well as smaller developing economies across the Caribbean and Central America. The continent’s currencies reflect this variety — from the globally dominant US Dollar (USD) to regional currencies like the Canadian Dollar (CAD), Mexican Peso (MXN), and the Bahamian Dollar (BSD). Many smaller nations and territories in the Caribbean and Central America also use the US Dollar either officially or alongside their local currencies. This comprehensive guide provides an updated list of North American countries and their currencies in 2025, including official names, ISO codes, and key facts about the region’s monetary landscape.
Table of Contents
- Introduction
- Meaning of Currency
- Overview of the North American Currency System
- Importance of Currency in North America’s Economy
- Complete List of North American Countries and Their Currencies
- Countries Using the US Dollar
- Strongest and Weakest Currencies in North America
- Regional Currency Trends and Cooperation
- Importance of ISO Currency Codes in North America
- Conclusion
1. Meaning of Currency
A currency is the official medium of exchange used in a country or region. It facilitates trade, helps measure economic value, and serves as a store of wealth. Currencies are typically issued and controlled by a nation’s central bank or monetary authority.
In North America, currency serves not just as a tool for domestic transactions but also as a symbol of national sovereignty and economic strength.
2. Overview of the North American Currency System
North America’s currency system is both unified and diverse. The United States Dollar (USD) is not only the most widely used currency on the continent but also the world’s primary reserve and trade currency.
However, other nations maintain their own strong and independent currencies — notably the Canadian Dollar (CAD) and Mexican Peso (MXN). Meanwhile, smaller island nations often tie or peg their currencies to the USD to ensure financial stability and facilitate tourism.
The region’s currency system reflects its interconnected economies, with free trade and foreign exchange forming the backbone of financial cooperation.
3. Importance of Currency in North America’s Economy
North America’s economic system depends heavily on currency for both internal and external trade. The region houses the world’s largest economy (the United States), and its currencies influence global trade and investment.
Functions and importance of currencies in North America:
- Trade facilitation: Currencies allow seamless exchange of goods and services across borders.
- Monetary stability: Pegging currencies to the USD helps smaller economies maintain financial balance.
- Tourism and remittances: Caribbean and Central American countries rely heavily on foreign currency inflows.
- Investment and global finance: The US Dollar acts as a global benchmark for commodities and investments.
4. Complete List of North American Countries and Their Currencies
| Country | Currency Name | Currency Code |
|---|---|---|
| Antigua and Barbuda | East Caribbean Dollar | XCD |
| Bahamas | Bahamian Dollar | BSD |
| Barbados | Barbadian Dollar | BBD |
| Belize | Belize Dollar | BZD |
| Canada | Canadian Dollar | CAD |
| Costa Rica | Costa Rican Colón | CRC |
| Cuba | Cuban Peso | CUP |
| Dominica | East Caribbean Dollar | XCD |
| Dominican Republic | Dominican Peso | DOP |
| El Salvador | United States Dollar | USD |
| Grenada | East Caribbean Dollar | XCD |
| Guatemala | Quetzal | GTQ |
| Haiti | Gourde | HTG |
| Honduras | Lempira | HNL |
| Jamaica | Jamaican Dollar | JMD |
| Mexico | Mexican Peso | MXN |
| Nicaragua | Córdoba | NIO |
| Panama | Balboa / United States Dollar | PAB / USD |
| Saint Kitts and Nevis | East Caribbean Dollar | XCD |
| Saint Lucia | East Caribbean Dollar | XCD |
| Saint Vincent and the Grenadines | East Caribbean Dollar | XCD |
| Trinidad and Tobago | Trinidad and Tobago Dollar | TTD |
| United States | United States Dollar | USD |
5. Countries Using the US Dollar
The United States Dollar (USD) plays a dominant role in North America. Several countries and territories use it either officially or alongside their local currency.
Countries officially using the USD:
- United States
- El Salvador
- Panama
Countries where the USD is commonly accepted:
- Bahamas
- Belize
- Costa Rica
- Dominican Republic
- Honduras
- Jamaica
The widespread use of the US Dollar provides stability and promotes economic confidence across the continent, especially in tourism-based economies.
6. Strongest and Weakest Currencies in North America
Strongest Currencies in North America (as of 2025):
- United States Dollar (USD)
- Canadian Dollar (CAD)
- Cayman Islands Dollar (KYD)
- Bahamian Dollar (BSD)
- Barbadian Dollar (BBD)
These currencies maintain high values due to strong economic fundamentals, sound banking systems, and robust international trade.
Weaker Currencies in North America:
- Haitian Gourde (HTG)
- Honduran Lempira (HNL)
- Nicaraguan Córdoba (NIO)
- Cuban Peso (CUP)
- Dominican Peso (DOP)
Weaker currencies often result from inflation, limited exports, or dependency on remittances and tourism.
7. Regional Currency Trends and Cooperation
North America exhibits three main patterns in its currency system:
(a) Dollarized Economies
Countries like El Salvador and Panama use the US Dollar to promote stability and attract investment. This arrangement minimizes currency risk but limits monetary independence.
(b) Independent Strong Currencies
The Canadian Dollar (CAD) and Mexican Peso (MXN) are strong, fully sovereign currencies that float freely on the international market, representing major economic players.
(c) Regional Shared Currencies
The East Caribbean Dollar (XCD) is a notable example of a shared currency used by eight small island nations under the Eastern Caribbean Central Bank (ECCB). It is pegged to the US Dollar, ensuring exchange rate stability.
8. Importance of ISO Currency Codes in North America
Each currency in North America has a three-letter ISO 4217 code, which ensures clarity and standardization in international finance.
Examples:
- USD – United States Dollar
- CAD – Canadian Dollar
- MXN – Mexican Peso
- XCD – East Caribbean Dollar
- CRC – Costa Rican Colón
- BSD – Bahamian Dollar
- TTD – Trinidad and Tobago Dollar
These codes are essential for trade, online transactions, and foreign exchange markets, especially given the USD’s central role in regional commerce.
9. Conclusion – North American Countries and Their Currencies
North America’s currency system reveals a balance between economic independence and regional interdependence. The US Dollar dominates as the primary global reserve currency, influencing trade and monetary policy far beyond the continent.
Meanwhile, strong currencies like the Canadian Dollar and Mexican Peso demonstrate the economic resilience and autonomy of their nations. Smaller Caribbean and Central American countries, through dollarization or currency pegs, ensure stability and access to global trade.
Understanding the currencies of North America provides valuable insight into the continent’s diverse economies, its close trade relations, and its influence on global financial trends. Whether for business, travel, or education, knowing the currencies of North America is essential to understanding how this region drives much of the world’s economic activity.
READ ALSO: List of North American Countries and their Capitals – [Full List]
Frequently Asked Questions – North American Countries and Their Currencies
1. How many countries are in North America?
There are 23 officially recognized sovereign countries in North America.
2. What is the main currency of North America?
The United States Dollar (USD) is the most widely used and influential currency across North America.
3. Which countries use the East Caribbean Dollar?
Antigua and Barbuda, Dominica, Grenada, Saint Kitts and Nevis, Saint Lucia, and Saint Vincent and the Grenadines all use the East Caribbean Dollar (XCD).
4. What is the currency of Canada?
Canada uses the Canadian Dollar (CAD).
5. What currency does Mexico use?
Mexico uses the Mexican Peso (MXN).
6. Which countries use both the US Dollar and a local currency?
Panama uses both the Balboa (PAB) and the US Dollar (USD), while countries like the Bahamas and Belize accept USD alongside their own.
7. Which country has the strongest currency in North America?
The Cayman Islands Dollar (KYD) is one of the strongest currencies in North America, followed closely by the US Dollar (USD) and Canadian Dollar (CAD).
8. What is the currency of Jamaica?
Jamaica uses the Jamaican Dollar (JMD).
9. Why do some North American countries peg their currency to the US Dollar?
Pegging to the USD helps smaller economies stabilize exchange rates, reduce inflation, and boost investor confidence.
10. What is the currency of the Dominican Republic?
The Dominican Peso (DOP) is the official currency of the Dominican Republic.