As Venezuela’s economic mess continues unabated, with inflation
surpassing 2,600 percent in 2017, the country’s president, Nicolás
Maduro, decided on March 22 to make its worthless currency officially
worthless. The currency now used has been in circulation for less than
New coins and paper money will start circulating on June 4, at which
point all existing currency will lose its value.
The new currency, called the “bolívar soberano” (sovereign bolivar,
which will be written as “Bs.S.”), will actually come into existence
on May 1, when three zeroes will be lopped off every denomination. For
instance, the old 50,000-bolivar (Bs) note will be replaced by the
50-bolivar-soberano note. The old money will therefore continue in
circulation for about another month.
The eight new denominations will be Bs.S 2, Bs.S 5, Bs.S 10, Bs.S
20, Bs.S 50, Bs.S 100, Bs.S 200 and Bs.S 500. The nation will also
release 50-céntimo and Bs.S-1 coins.
According to Reuters, since Maduro came to power in April 2013, the
bolivar has fallen 99.99 percent against the U.S. dollar on the black
market, and if inflation continues at its current rate, another
re-denomination will be necessary in 20 months. Maduro blames these
problems on domestic opposition and the United States.
Connect with Coin World:
up for our free eNewsletter
Like us on
us on Twitter