The Cayman Islands Dollar (KYD) is the official currency used in the Cayman Islands, a beautiful group of islands located in the Caribbean Sea. 

The Cayman Islands are famous for their stunning beaches, crystal-clear waters, and vibrant marine life. 

The currency is essential for everyday transactions, such as buying food, and souvenirs, or paying for services. 

Read on to understand all you need to know about the Cayman Islands Dollar.

What is the Cayman Islands Dollar (KYD)

The Cayman Islands Dollar (KYD) serves as the official currency of the Cayman Islands, a British Overseas Territory in the Caribbean. 

The local economy, heavily influenced by tourism and offshore financial services, relies significantly on the currency.

People denote the Cayman Islands Dollar with the symbol “CI$,” and it divides into 100 cents. Residents commonly use it alongside the US Dollar (USD), which enjoys widespread acceptance on the islands.

The fixed exchange rate sets 1 KYD at 1.20 USD, which contributes to economic stability and facilitates transactions for both visitors and residents.

History of Cayman Islands Dollar (KYD)

Before the introduction of the Cayman Islands Dollar in 1972, the Jamaican Dollar (JMD) served as the official currency. 

The shift to a local currency aimed to enhance the islands’ economic independence. 

The first series of banknotes featured denominations of 1, 5, 10, and 25 dollars. Over the years, additional denominations were introduced, including 50 and 100 dollars​

The currency’s design often highlights important aspects of Caymanian culture and history, featuring prominent national symbols, local landmarks, and notable figures. 

These designs reinforce the islands’ unique identity while promoting tourism​

Exchange Rate with Other Currencies

The exchange rate for the Cayman Islands Dollar (KYD) is approximately 0.833 KYD for 1 USD. 

This means that if you exchange one US dollar, you will receive about 0.833 Cayman Islands dollars.

The exchange rates for the Cayman Islands Dollar against several other currencies are as follows:

• Nigerian Naira (NGN): 1 KYD equals approximately 2,015.26 NGN​
• US Dollar (USD): The Cayman Islands Dollar is pegged to the US Dollar at a rate of 1 KYD = 1.20 USD​
• Euro (EUR): The exchange rate is about 1 KYD = 0.911 EUR​
• British Pound (GBP): The current exchange rate stands at around 1 KYD = 0.764 GBP​

How the Cayman Islands Dollar is Represented

• Symbol: $ (the same symbol as the US Dollar)
• Code: KYD

Even though the symbol looks the same as the US Dollar, you can identify the Cayman Islands Dollar by using “KYD” when discussing prices or amounts of money.

Banknotes of the Cayman Islands Dollar

The Cayman Islands Dollar has several colorful banknotes, each with a unique design and features:

• $1: This banknote is blue and shows a picture of Queen Elizabeth II on the front. It also features images of a Cayman turtle. The size is about 138 x 69 mm.
• $5: The $5 bill is green and displays Queen Elizabeth II on the front. It also features the Cayman Islands coat of arms. This banknote measures around 138 x 69 mm.
• $10: This note is purple and includes Queen Elizabeth II on the front. It shows a coconut palm tree and measures about 138 x 69 mm.
• $20: The $20 bill is red and features Queen Elizabeth II. It also includes images of a Mahi-mahi fish. The size is similar to the other notes, about 138 x 69 mm.
• $50: This is a brown banknote with Queen Elizabeth II on the front. It showcases a picture of a sailboat and measures about 138 x 69 mm.
• $100: The $100 bill is orange and displays Queen Elizabeth II. It features a Hawksbill turtle. This banknote is the largest denomination in the Cayman Islands Dollar series and measures 138 x 69 mm.

 Coins of the Cayman Islands Dollar

The Cayman Islands Dollar also has several coins used for everyday purchases. These include 1, 5, 10, 25, 50 cents, and $1 coin.

Each coin is made of durable metal, making them easy to carry and use for small transactions.

Why the Cayman Islands Dollar is Pegged to the US Dollar

The fixed exchange rate between the Cayman Islands Dollar and the US Dollar helps maintain stability in the local economy. 

Many tourists visit the Cayman Islands, and a lot of trade occurs with the United States. By pegging the KYD to the USD, the Cayman Islands make it easier for tourists and locals to understand the value of their money. 

This peg also helps protect the local economy from inflation and financial crises.

Where is the Cayman Islands Dollar Used?

The Cayman Islands Dollar (KYD) is used only in the Cayman Islands. If you visit or do business there, you will need to exchange your currency for KYD. 

While many places in the Cayman Islands accept US Dollars, it is always good to have some local currency on hand for small purchases.

Conclusion

The Cayman Islands Dollar (KYD) plays a vital role in the economy and daily life of the Cayman Islands. 

Its unique banknotes and coins, with their vibrant designs, reflect the culture and natural beauty of the islands. 

The fixed exchange rate with the US Dollar ensures stability and confidence for both residents and visitors. 

By using KYD, you can fully embrace the local experience while enjoying everything this beautiful Caribbean destination has to offer.