Because of the hyperinflation process, as of next October the Venezuelan currency, Bolivar, will lose six zeroes, the central bank announced on Thursday, This is the third time in thirteen years that monetary officials in the country appeal to eliminating ciphers.
Venezuela's monthly inflation rate jumped to 33.8% in August, with food price rises reaching hyperinflationary levels above 50%, the opposition-controlled National Assembly said on Thursday.
Leaders of the Venezuelan opposition have blamed President Nicolas Maduro's regime of causing the Bolivar to devalue to unprecedented levels against the U.S. dollar. According to data provided by the currency tracking website DolarToday, the Venezuelan Bolivar fell this week to an all-time low against the U.S. dollar in the black market.
Indian drug companies could recoup some of the financial losses incurred as Venezuela struggles to make foreign-currency payments and the value of its currency plummets--by participating in a barter plan that would swap medicines for crude oil.
Venezuela's Bolivar currency hit a record low 100 to the U.S. dollar on the black market on Friday, making the dollar 16 times more expensive than the strongest official rate, according to a website that tracks it.
Venezuela will create a new exchange rate for tourists to buy up to US$10,000 of the local Bolivar currency per year in a measure intended to help reduce black market trading, the government said in its official gazette.