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What is the Cambodian Currency?The Cambodian currency is called Riel. However, most Cambodians prefer US dollar to their own currency. Even the littlest shops quote prices in US dollar, and you keep on hearing them say that Cambodian money worth very little. 1 US dollar is equal to 4,000 Riels (or very close to it,click to see the current currency exchange rate). This was the case during our trip, and apparently this was the case in 1980s. I have no confirmation if the currency is pegged to the dollar, but this fact alone suggests that it is. I also find it rather curious that Yahoo Currency or Google Currency converter don't have any data on KHR, or Cambodian Riel. No point in providing a stable data, perhaps? At border cities, like Battambang, merchants will also accept Thai Baht, in addition to the US dollar. Cambodia money, it seems, has the lowest priority. The Riel is still widely used, though. In remote and non-touristy areas this is even more so. But for sellers in the city, they are well stocked with both currencies. When you shop, you can ask for the change in dollar. If they don't have enough dollar, or if your change is something like $0.50, well, then Riel it is. An interesting note, even the ATM in Siem Reap near Central Market spits out money in US dollar. I just found that fascinating. Cambodian Riel In The PastThe Cambodian people's notion of 'worthless' Riel seems to come from the fact that, not so long ago during the civil war, the Riel really was worthless. During the Pol Pot regime, the regime abolished the use of money. There were no shops, no buying or selling activities. Only work. When the regime ended, they had to re-introduce Riel to the economy as the currency of Cambodia. Cambodian People and BanksAnother interesting note, our tour guide also says that Cambodian people do not trust banks. They keep their money themselves (under the mattress?), and save for big money purchases. They don't ask for credit to the banks. Everything, including houses, motorbikes, and bicycles, must be paid in cash. Can you imagine? Again, this distrust probably originated back to the Pol Pot regime. When the economy is shot, banks are crippled, the Cambodian currency depreciates, and people's money are gone. At least you can now say one thing about the Cambodian money: it's "stable". ;-)
What other Cambodia travel info do you need to know about? Return from Cambodian currency to Cambodia Travel Information Return from Cambodian currency to Holiday in Angkor Wat (homepage)
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