Thursday, May 8, 2008

50 million Zimbabwean dollar is one US dollar

HARARE: The Reserve Bank of Zimbabwe (RBZ) has introduced a new note worth 50 million Zimbabwean dollar to deal with rampant shortages of cash in an economy that is also grappling with the world's highest inflation rate of over 100,000 per cent. The new note is part of bearer cheques that were first introduced by the Central bank at the height of cash shortages about four years ago. The 50 million dollar note is expected to be introduced on the market Friday after the RBZ also increased the maximum withdrawal limit for individuals to 5 billion Zimbabwean dollar a day.
The introduction of the 50 million dollar note graphically captures the depth of Zimbabwe's unprecedented economic crisis. Fifty million dollars is enough to buy two loaves of the cheapest quality bread in Zimbabwe. Cash shortages which had disappeared in January following the introduction of the 10 million dollar note had resurfaced over the past month as Zimbabwe's economic crisis continued without let-up.

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