Local currencies are alternative forms of money that are used within a specific community or region. They are designed to encourage spending within the local economy, supporting local businesses and fostering a sense of community. Examples of local currencies include the Bristol Pound in the UK and the Chiemgauer in Germany. These currencies often complement national currencies and can be exchanged for goods and services at participating businesses. By using local currencies, communities aim to strengthen their economic resilience and promote sustainable practices, as they keep money circulating within the area rather than flowing out to larger corporations.