2018-07-11 Wed

Venezuela was going to introduce a new series of banknotes called bolivares Soberanes on 4th June to combat rising inflation in the country. Maduro government delayed the release to 4th August but the national banker’s association requested for another month to prepare. One bolívar Soberano is equal to 1,000 bolivares Fuertes and 1 million pre-2008 bolívares.

The Monetary Research Institute has officially reported that none of the seven new denominations, from 2 to 200 bolívares Soberanos have reached Venezuela. The economic condition has worsened after the Government announced about the new release. During the last week of June, the bolivar Fuerte was trading on the free market at 3.6 million per U.S. dollar. This means that a complete set of 2-, 5-, 10-, 20-, 50-, 100-, and 200-bolívares-soberanos notes would be worth 26 U.S. cents. The Monetary Research Institute officials state that the cost of printing these notes is double that amount.

Image Courtesy: Monetary Research Institute