Seychelles Currency: Everything You Need to Know

Introduction

The Seychelles rupee (SCR) is the official currency of the Republic of Seychelles, an archipelago nation in the Indian Ocean. It is issued by the Central Bank of Seychelles and has been in use since 1971, when it replaced the Seychelles rupee, which was pegged to the British pound.

History of the Seychelles Rupee

The history of the Seychelles rupee can be traced back to the 18th century, when the French East India Company established a trading post on the island of Mahé. The company issued its own currency, known as the "Mahé rupee," which was used for trade between the French and the local population.

In 1814, the Seychelles became a British colony and the British pound was introduced as the official currency. However, the Mahé rupee continued to be used in parallel with the pound until 1971, when the Seychelles rupee was introduced as the sole legal tender.

Coins and Banknotes

The Seychelles rupee is available in both coins and banknotes. The coins are issued in denominations of 5, 10, 25, 50, and 100 rupees, while the banknotes are issued in denominations of 10, 25, 50, 100, and 500 rupees.

The coins are made of a variety of metals, including copper, nickel, and bronze. The banknotes are made of paper and feature images of Seychellois people, animals, and landmarks.

Exchange Rates

The Seychelles rupee is pegged to the US dollar at a rate of 1 USD = 13.5 SCR. This peg has been in place since 2009 and has helped to stabilize the value of the rupee.

Economy of Seychelles

The Seychelles is a small, open economy that is heavily dependent on tourism. The country also exports fish, coconuts, and cinnamon. The GDP of Seychelles is estimated to be $1.6 billion, and the per capita income is $12,000.

Inflation

The inflation rate in Seychelles is relatively low, averaging around 3% per year. This is due in part to the government's tight monetary policy.

Monetary Policy

The monetary policy of Seychelles is managed by the Central Bank of Seychelles. The bank's main objective is to maintain price stability and promote economic growth. The bank uses a variety of tools to implement monetary policy, including interest rates, reserve requirements, and open market operations.

Financial System

The financial system of Seychelles is well-developed and includes a number of banks, credit unions, and other financial institutions. The banking sector is dominated by the Seychelles Commercial Bank, which has a market share of over 50%.

Conclusion

The Seychelles rupee is a stable and well-managed currency. It is used throughout the country and is accepted by all businesses and institutions. The rupee is also widely used for international trade and investment.

FAQs

• What is the currency of Seychelles?
  The currency of Seychelles is the Seychelles rupee (SCR).

• What is the exchange rate of the Seychelles rupee?
  The exchange rate of the Seychelles rupee is 1 USD = 13.5 SCR.

• What is the inflation rate in Seychelles?
  The inflation rate in Seychelles is around 3% per year.

• What is the monetary policy of Seychelles?
  The monetary policy of Seychelles is managed by the Central Bank of Seychelles and is aimed at maintaining price stability and promoting economic growth.

• What is the financial system of Seychelles like?
  The financial system of Seychelles is well-developed and includes a number of banks, credit unions, and other financial institutions.