Zimbabwe releases $10 billion note

Zimbabwe releases $10 billion note

• Soldiers keep order as $200m, $500m notes rolled out

• $100m note introduced, withdrawal limits up

• RBZ rolls out new notes, raises bank withdrawal limits

• Era of deregulation in financial services is over

• 2004 liquidity crisis: has RBZ been vindicated?

• RBZ suspends RTGS system

• RBZ issues $10,000 and $20,000 notes

• Elton Mangoma: Monetary regulations harming the poor

• Tsvangirai surveys banking chaos

• RBZ rolls out new bank notes, coins

• RBZ slashes 10 zeros, unveils new currency

• Mumbengegwi threatens banks

• Text of RBZ statement on cash situation and stabilisation measures

• Zimbabwe introduces $10 million note

Posted to the web: 18/12/2008 19:25:11
ZIMBABWE’S central bank announced it was introducing $1 billion, $5 billion and $10 billion notes on Friday as the country struggles to cope with the world’s highest inflation and crippling currency shortages.

Only last Friday, the Reserve Bank of Zimbabwe put in circulation a $500 000 note, together with a 200 million dollar bill “for the convenience of the public”.

A week before that, the RBZ introduced a 100 million dollar bill that at the time was worth US$14. Three weeks later, it's worth less than 50 cents.

Zimbabwe's highest inflation was last estimated in July at 231 million per cent but is now believed to be much higher.

The central bank struggles to print money fast enough to keep pace with prices that rise several times in a day.

Due to currency shortages, cash can now only be withdrawn once a week from banks. Ordinary people can take out 500 million dollars a week while companies are permitted to withdraw 50 million dollars.

Winding queues in banks are commonplace in Zimbabwe as people take hours to withdraw money which is still not enough to see them through the day, while others sleep outside banks to get money the next day.

Once the region's breadbasket, the country is now battling widespread food shortages while cholera has killed nearly 1000 people since late August, according to the United Nations.
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