By Omar F M’Bai
The value of a nation’s currency goes beyond its numerical denomination. It reflects national identity, economic strength, and collective discipline. When a people abandon their currency, they risk abandoning the very economic sovereignty that defines them. Today, our beloved country, The Gambia our homeland,is confronting such a crisis.
Across the country, there has been a troubling rise in the use of foreign currencies particularly US Dollars, The British Pound and the European Euro, for domestic transactions. This practice, once limited to a handful of high-end real estate deals and expatriate-driven commerce, has now permeated everyday life.
Landlords demand rent in dollars. Vendors advertise prices in Euros.
Schools, institutions responsible for shaping the next generation issue invoices to parents in foreign currency. All these activities occur within the jurisdiction of The Gambia, yet the Dalasi is sidelined like an unwelcome visitor in its own home.
The Central Bank of The Gambia has issued multiple public warnings on this matter. These warnings have been printed in newspapers, broadcast on radio, shared across social media, and reiterated at press conferences. The message has been consistent i.e. the Dalasi is the only legal tender for domestic transactions in The Gambia.
Despite these clear warnings, the practice continues unabated.
Recently, the Ministry of Basic and Secondary Education took an unprecedented step by warning all schools to stop invoicing parents in foreign currency. For an education ministry to issue such a warning is itself alarming. It signals how deeply the problem has infiltrated national institutions.
Yet even in the face of such official admonition, some schools continue to defy the directive. Their invoices remain denominated in dollars or euros or pounds, betraying a concerning level of disregard for both law and national interest.
This raises a painful but necessary question, why do Gambians persist in this practice despite the repeated appeals of state authorities?
The uncomfortable truth is that the problem lies not with foreigners but with Gambians themselves. Not outsiders. Not international agencies. Not neighbouring countries. Gambians, ordinary citizens, business owners, institutions, are undermining the Dalasi.
Many of these individuals loudly profess their love for country. They speak with pride about national identity and sovereignty. But patriotism is not expressed in slogans, it is shown in actions. The practice of rejecting the Dalasi in favour of foreign currency contradicts every claim of national pride.
Economics teaches us that a currency gains strength from two things namely, confidence and usage. When usage declines, confidence collapses. When confidence collapses, the currency depreciates. When depreciation accelerates, the entire population suffers.
According to Nobel laureate Robert Mundell, “A nation that surrenders its currency loses an essential instrument of sovereignty.” Gambians today are surrendering their currency not through invasion or colonisation, but through personal preference and financial indiscipline.
The implications are grave.
Whenever a landlord demands rent in US Dollars, they artificially increase domestic demand for a foreign currency. The Gambia does not print dollars. It does not earn enough dollars. Importing foreign currency requires either export earnings, remittances, or borrowing, none of which should be wasted on domestic transactions.
This unnecessary demand weakens the Dalasi further. As the Dalasi weakens, the cost-of-living skyrockets. Essential imports i.e. fuel, medicines, building materials, food staples, become more expensive. Ordinary Gambians bear the brunt of this burden.
Milton Friedman famously stated that “inflation is always and everywhere a monetary phenomenon.” In our context, the inflationary pressures created by currency substitution are man-made and avoidable. They are caused by choices, not fate.
Currency substitution also undermines trust in the Central Bank. If people avoid the Dalasi, they send a signal that they do not trust monetary policy. John Maynard Keynes referred to this trust as “the spontaneous optimism” that keeps economies functioning. Without that optimism, markets panic and currencies plunge.
Furthermore, a society that rejects its own currency weakens its state. The law is clear, only the Dalasi is legal tender for domestic transactions. Ignoring this law is not only an economic offense, but also a legal one.
As the great jurist Oliver Wendell Holmes said, “The law is the witness and external deposit of our moral life.” When people flout currency regulations, they do more than violate statutory provisions, they undermine national moral order.
The Central Bank’s authority must mean something. If institutions choose foreign currency over the Dalasi, they dilute the Bank’s operational capacity to manage inflation, stabilise money supply, and ensure financial stability.
Economists warn that persistent use of foreign currencies can lead to “partial dollarisation” or even “full dollarisation.” This has happened in some Latin American and African countries. Once this occurs, reversing it becomes almost impossible. No country voluntarily abandons its currency yet through reckless practice, Gambians inch closer to this danger.
The Ministry of Education’s warning to schools reflects an urgent need to reassert state authority. Schools, of all institutions, are expected to uphold compliance and teach respect for national systems. When they issue invoices in foreign currency, they send a damaging message to the next generation.
Frantz Fanon warned about this tendency when he wrote “The wealth of the nation is never safe in the hands of those who seek external validation.” Schools demanding foreign currency fees show misplaced validation, rejecting national identity in favour of foreign expression.
Kwame Nkrumah emphasised that “Political independence is meaningless without economic independence.” Economic independence begins with using and defending one’s national currency.
Nelson Mandela said that “For to be free is not merely to cast off one’s chains, but to live in a way that respects and enhances the freedom of others.” When individuals refuse to transact in Dalasi, they disrespect the entire population. They weaken economic freedom for millions.
Marcus Garvey, speaking to the heart of African dignity, said “A people without the knowledge of their past history, origin, and culture is like a tree without roots.” Currency is part of national culture. It is a root. When Gambians uproot the Dalasi, the entire tree of national stability begins to fall.
There is also the issue of fairness and economic justice. When businesses invoice in foreign currency, they often inflate prices beyond the true exchange value. Parents are exploited. Tenants are exploited. Customers are exploited.
This form of economic injustice creates social tension. It widens inequality. It punishes the poor.
Furthermore, foreign currency invoicing creates loopholes for tax evasion. Many institutions underreport foreign currency income, depriving the government of revenue. This weakens public services i.e. schools, hospitals, roads, and national infrastructure all suffer.
Such practices also encourage black-market behaviour. Informal foreign-exchange operators thrive in such environments, contributing to currency distortion, money-laundering risks, and economic instability.
Given the severity of these consequences, warnings alone are no longer sufficient. When persuasion fails, enforcement must follow.
The government must take decisive action. Law enforcement agencies should investigate and prosecute individuals and institutions engaged in illegal foreign currency practices. The legal framework already empowers them to act.
Schools must be compelled to refund illegally collected fees. Landlords must be sanctioned for unlawful rent demands. vendors must be penalised for advertising in foreign currency. Those who continue violating the law must be held accountable.
The Ministry of Basic Education knows which schools are violating its directive. The Ministry of Trade knows the businesses involved. Local authorities know the landlords. This is not a matter of investigation, it is a matter of courage and political will.
Enforcement will restore confidence in the Dalasi. It will send a clear message: the currency of The Gambia is not optional; it is the law. It is the lifeline of the economy. It is a symbol of national respect.
John F Kennedy’s words ring true: “Ask not what your country can do for you, ask what you can do for your country.” Defending the Dalasi is something every Gambian can and must do for their country.
Patriotism requires sacrifice, discipline, and loyalty. If we claim to love our country, let our actions prove it.
The Dalasi must be restored to its rightful place. It must be respected, protected, and used. Without this commitment, no monetary reform, no economic policy, and no development blueprint can succeed.
If we allow the Dalasi to collapse through our own behaviour, we will have no one to blame but ourselves. The Gambia cannot afford this economic betrayal.
Now is the time to act. Now is the time to enforce. Now is the time to restore dignity to the Dalasi.
Our currency is our sovereignty. Our sovereignty is our identity. We must defend both, before they disappear.
The author is a legal practitioner, governance advocate, and a parent. He writes regularly on institutional integrity, leadership, and education across Africa, Middle East and Asia.
