Thursday, March 01, 2007

Small change

Zimbabwe's central bank has released a $50,000 note – worth only £3 – in response to the country's inflation crisis.

Previously the highest face value note was 10,000 Zimbabwean dollars, but the currency's value is just a sixteenth of what it was a year ago.
The hyperinflation has been driven by rumours of a government freeze on wages and prices.

In August, the central bank slashed three zeros from the currency to eliminate the need to use of bags and large bundles of currency for the smallest of purchases.

Zimbabwe is suffering from its worst economic crisis since independence in 1980, with inflation of nearly 1,600 per cent, the highest in the world.

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