Central America Travel Guide

By European or North American standards the cost of living in Central America is low. Belize and Costa Rica are the most expensive, while Nicaragua, Guatemala and Honduras are probably the cheapest. There are, of course, exceptions and variations - in El Salvador, for example, one of the cheaper countries overall, accommodation is surprisingly expensive for the region.

The US dollar is the most widely accepted foreign currency in Central America - Panamá's unit of currency, the balboa, is the US dollar, and in El Salvador the greenback is now accepted as legal tender alongside local currency for all transactions. Though you can pay for some things by plastic - and, more usefully, use it to withdraw currency from ATMs - some countries are less geared up for this than others, and it's always a good idea to have some dollar travellers' cheques (though again, these aren't accepted everywhere) or cash dollars , in case you run short of local currency a long way from the nearest bank. You'll get the best rate for your dollars if you change them for local currency in the country you're in or entering. Most international airports have a bank for currency exchange , while at the main land border crossings there might be a bank, or more likely a swarm of moneychangers, who'll give fair rates for cash and occasionally travellers' cheques. At even the most remote border crossing you can usually depend on finding some entrepreneur willing to change dollars, though rates worsen the further you are from a bank.

All prices quoted in the guide are in US dollars