What is 'TND (Tunisian Dinar)'

Tunisian dinar (TND) is the currency for Tunisia, a country located on the Mediterranean coast of Northern Africa. The Tunisian dinar is made up of 1,000 milim and is officially presented with the symbol TND, although DT is also used, and writing dinar after the amount is most common (100 DT, 100 TND or 100 dinar). The two terms derive from the fact that for most of its existence, Tunisia was governed by France and French is the primary language in the country. In French, the currency is named Dinar Tunisien, which is abbreviated as “DT.” Both terms are used casually, but in the Foreign Exchange market, the official code of TND is used.

BREAKING DOWN 'TND (Tunisian Dinar)'

The Tunisian dinar (TND) replaced the French franc at a rate of 1,000:1 in 1958. Because of the devaluation of the French franc in the same year, this initial exchange rate was replaced with a U.S. dollar peg of 0.42 Tunisian dinars to 1 USD. This changed to 0.525:1 in 1964, and in 1971 the currency was made to float at market rates. Currently, the most popular currency exchange rate is the euro to TND.

It is illegal to import or export Tunisian dinars. As a result, many converting ATMs exist throughout the country for tourists.

History of the Tunisian Dinar (TND)

 France was the dominating economic force for the country for many years. Because France controlled the small country, the franc was used as the first currency in Tunisia. However, the country gained independence from France in 1956 and as an independent country, decided to establish their newfound status with its own central bank and currency, often an important step for a new country’s financial standing in the global market. In 1958, Tunisia established the Central Bank of Tunisia and the Tunisian dinar was first introduced as the country’s official currency in 1960. The initial TND was tied to the franc, but eventually, as a way to further break ties with France and establish economic standing, the TND was tied to the U.S. dollar instead. The original currency exchange rate was 1 Tunisian dinar to .41 U.A. dollars, but the dinar value eventually dropped in 1964 and has remained low throughout the years. Today, the exchange rate is approximately 1 TSD to .52 USD.

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