A new currency with six fewer zeros debuted Friday in Venezuela, whose currency has been made nearly worthless by years of the world’s worst inflation.
But the new bills were nowhere to be found in the capital, where consumers’ fears that prices will continue to spiral upward proved to be right.
“The most important and fundamental reason is that the payment systems are already collapsed because the number of digits make the payment systems and doing the math practically unmanageable,” said Jose Guerra, an economics professor at the Central University of Venezuela. “These debit card payment processing systems or an accounting system for companies... are not intended for hyperinflation, but for a normal economy.
When Venezuela’s Central Bank announced the currency change last month, officials said payment systems will be modernized to expand digital use of the bolivar. This is the third time Venezuela’s socialist leaders have lopped zeros off the currency. The bolivar lost three zeros in 2008 under the late President Hugo Chávez, while his successor, current President Nicolás Maduro, eliminated five zeros in 2018.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
U.S. Poised to Unveil China Trade PolicyThe Biden administration will begin to share its China strategy with a speech on Monday by U.S. Trade Representative Katherine Tai, as business groups press the administration for clarity.
Read more »
Kylie Jenner's new swim line slammed by fans for being 'see-through' and 'cheaply made'Kylie Swim customers are flooding TikTok with their brutally honest reviews of the new swimwear line.
Read more »
Natalie Morales is leaving NBC News after 22 yearsMorales announced Friday that she was excited to be pursuing 'a new adventure.'
Read more »
Apple iPhone 13 Pro Max Review: Familiar Looks, Cool InnovationsApple's iPhone 13 Pro Max offers great new features inside a familiar-looking case.
Read more »
Investors need to move faster to achieve 2050 sustainability targetsWhat investors choose to fund will shape major transitions to clean energy and net-zero targets. Presented by Deloitte.
Read more »