The exchange rate between the domestic currency, the Dominican peso, and the U.S. dollar has registered some changes over the last few weeks, moving from about RD$13.40 to RD$13.20 for one U.S. dollar. This drop in the selling price of the U.S. currency has also been felt by the informal market. Banks report there is a good supply of U.S. dollars, but there appears to be little demand.
Currency analysts believe this reduction in the value of the U.S. dollar against the peso is a direct result of the steady influx of U.S. dollars entering the economy from remittances by Dominican expatriates, and the revenue from tourists visiting the country. There is a large Dominican community residing in the United States, especially New York and Puerto Rico, who send in excess of US$500 million per annum to their relatives in the country. Tourism revenue for 1995 amounted to some US$1400 million.