Convertibility (Noun)
Meaning
The quality of being exchangeable (especially the ability to convert a currency into gold or other currencies without restriction).
Classification
Nouns denoting attributes of people and objects.
Examples
- The country's currency had high convertibility, allowing tourists to easily exchange it for other currencies at a favorable rate.
- The gold standard ensured the convertibility of the dollar, giving investors confidence in its value.
- The lack of convertibility in the country's currency made it difficult for businesses to engage in international trade.
- The government's decision to restrict the convertibility of its currency led to a sharp decline in foreign investment.
- The high convertibility of the euro made it an attractive currency for international transactions and travel.