Currency in Bahamas: what to use and how to exchange

The Bahamian dollar is fixed at parity with the US dollar, and US banknotes circulate alongside local notes. You will rarely be asked which currency you are handing over. The practical catch is change: pay a USD 20 bill for a USD 12 lunch and you may get BSD 8 back, which is fine inside the country but awkward once you fly home.

Prices are quoted in dollars, so the mental maths is simple. A beer at a Nassau bar, a conch snack from a roadside stand and a taxi from the airport are all priced in the same unit whether the menu says BSD or USD. Confirm the total before you pay in tourist areas, and ask for change in the currency you prefer if it matters to you.

Cards are the default in Nassau, Paradise Island and Freeport: hotels, resorts, larger restaurants and car rentals take Visa and Mastercard. American Express is less reliable outside resort desks. On the Out Islands, smaller guesthouses, fish shacks, taxi drivers and boat operators often run cash only, so keep enough notes for a day or two ahead.

ATMs exist in Nassau, Freeport and the main settlements, and most dispense BSD, sometimes USD. Withdrawals outside your home bank's network carry a fee and a foreign-transaction charge, so take out larger amounts less often. If you are heading to a remote cay, treat the last ATM as your last chance.

You do not need to buy BSD before you arrive. Bringing US dollars and using a card covers almost every trip; exchange leftover BSD at a Nassau bank or the airport before departure, since the currency is not commonly traded outside The Bahamas.