Zimbabwe Introduces $100 Billion Banknotes

[ARCHIVED THREAD] - Zimbabwe Introduces $100 Billion Banknotes (Page 1 of 2)

Posted: 7/19/2008 9:41:17 AM EDT

www.cnn.com/2008/WORLD/africa/07/19/zimbabwe.banknotes/index.html

HARARE, Zimbabwe (CNN) -- Zimbabwe's troubled central bank introduced new $100 billion banknotes Saturday in a desperate bid to ease the recurrent cash shortages plaguing the inflation-ravaged economy.

The new bills officially come into circulation Monday, although they were already on the foreign currency dealers market Saturday.

As high as they are, though, the new bills still aren't enough to buy a loaf of bread. They can only buy four oranges.

The new note is equal to just one U.S. dollar

Once-prosperous Zimbabwe has seen an unprecedented economic meltdown since it gained independence in 1980, with the official inflation rate now at 2.2 million percent.

Gideon Gono, governor of the Reserve Bank of Zimbabwe, said the new notes are for "the convenience of the banking public and corporate sector" in light of price hikes.

"The RBZ has noted with concern the unjustifiable and incessant general increases in prices of goods and services. It is therefore appealing to the business community to follow ethical business practices as well as take an interest in the plight of the general public," Gono said in a statement dated Friday.

Zimbabwe started issuing large banknotes in December, starting with denominations of $250,000.

In January, the government issued bills in denominations of $1 million, $5 million, and $10 million -- and in May, it issued bills from $25 million and $50 million up to $25 billion and $50 billion.

The new bills are actually bearer checks and have an expiration date of December 31. Zimbabwe has not had formal currency since the introduction of bearer checks as a temporary measure in 2003.

"The RBZ is fighting a losing battle," said economist John Robertson in Harare. "As long as the inflation remains high, cash shortages will persist. There is need to address the inflation by increasing production so that too goods do not (cost) a lot of money."

WOW just WOW

Posted: 7/19/2008 9:41:58 AM EDT

[#1]

Printing more money will help.

Posted: 7/19/2008 9:43:29 AM EDT

[#2]

i would love to have $100 billion

Posted: 7/19/2008 9:43:49 AM EDT

[#3]

No sympathy from me. That's what they get. And I would appreciate it if you all would call that country by its proper name, Rhodesia.

Posted: 7/19/2008 9:44:11 AM EDT

[#4]

Quoted:
Printing more money will help.

I'm anxiously awaiting the $1 trillion bank note

Posted: 7/19/2008 9:44:41 AM EDT

[#5]

So, $10 US dollars would equal a trillion Zimbabwean dollars, correct?

Posted: 7/19/2008 9:50:12 AM EDT

[#6]

Quoted:
So, $10 US dollars would equal a trillion Zimbabwean dollars, correct?

You can get some cheap land over there too.

Posted: 7/19/2008 9:53:21 AM EDT

[#7]

Quoted:
Printing more money will help.

Nothing they do or could have done with their money would make a difference...

When you completely destroy all significant economic activity within your country, you can go 2 ways: hyperinflation or hyperdeflation....

Either your money becomes worthless, or it quickly leaves the country...

Farm Nationalization for the FAIL...

Posted: 7/19/2008 9:54:06 AM EDT

[#8]

Quoted:

Quoted:
So, $10 US dollars would equal a trillion Zimbabwean dollars, correct?

You can get some cheap land over there too.

Yeah, but you'll need a fairly large army to protect it....

The government has a 'troublesome' view of land ownership...

Posted: 7/19/2008 9:55:03 AM EDT

[#9]

Quoted:

Quoted:
Printing more money will help.

Nothing they do or could have done with their money would make a difference...

When you completely destroy all significant economic activity within your country, you can go 2 ways: hyperinflation or hyperdeflation....

Either your money becomes worthless, or it quickly leaves the country...

Farm Nationalization for the FAIL...

What is the proper course of action that needs to be taken to fix their economy?

Posted: 7/19/2008 9:55:42 AM EDT

[#10]

I want to buy some zimbabwean dollars. like 3 trillion of them

Posted: 7/19/2008 9:55:42 AM EDT

[#11]

Wouldn't be to hard to gather some people that rent a private army to overthrow the regime and start Rhodesia 2.

Posted: 7/19/2008 9:56:48 AM EDT

[#12]

Quoted:
So, $10 US dollars would equal a trillion Zimbabwean dollars, correct?

Sounds like a good deal to me. Where can I buy a trillion Z$'s?

Posted: 7/19/2008 9:57:02 AM EDT

[#13]

Quoted:
Printing more money will help.

+1

What kind of idiots would do that?

Posted: 7/19/2008 9:58:30 AM EDT

[#14]

Quoted:
So, $10 US dollars would equal a trillion Zimbabwean dollars, correct?

nope 10 trillion

Posted: 7/19/2008 10:00:14 AM EDT

[#15]

That note will probably buy you a used Yugo here in the states.

Posted: 7/19/2008 10:00:34 AM EDT

[#16]

Quoted:

Quoted:
So, $10 US dollars would equal a trillion Zimbabwean dollars, correct?

nope 10 trillion

You suck at math.

100 billion=1 US dollar.
10 x 100 billion = 1 trillion.

=10 US dollars

Posted: 7/19/2008 10:03:41 AM EDT

[#17]

Quoted:

Quoted:
So, $10 US dollars would equal a trillion Zimbabwean dollars, correct?

nope 10 trillion

You suck at math.

100 billion=1 US dollar.
10 x 100 billion = 1 trillion.

=10 US dollars

yes but by the time you put in the order for the bill it will be 1 trillion = $1

Posted: 7/19/2008 10:06:00 AM EDT

[#18]

Quoted:

Quoted:
So, $10 US dollars would equal a trillion Zimbabwean dollars, correct?

nope 10 trillion

You suck at math.

100 billion=1 US dollar.
10 x 100 billion = 1 trillion.

=10 US dollars

yes but by the time you put in the order for the bill it will be 1 trillion = $1

Posted: 7/19/2008 10:08:51 AM EDT

[#19]

Where could I buy a couple of these?

Posted: 7/19/2008 10:11:00 AM EDT

[#20]

Quoted:

Quoted:
Printing more money will help.

+1

What kind of idiots would do that?

Who ever said they were smart?

Posted: 7/19/2008 10:13:20 AM EDT

[#21]

Quoted:

Quoted:
Printing more money will help.

Nothing they do or could have done with their money would make a difference...

When you completely destroy all significant economic activity within your country, you can go 2 ways: hyperinflation or hyperdeflation....

Either your money becomes worthless, or it quickly leaves the country...

Farm Nationalization for the FAIL...

What is the proper course of action that needs to be taken to fix their economy?

First remove mugabe and his minions.

second establish rule of law.

third $$$$

Posted: 7/19/2008 10:22:26 AM EDT

[#22]

Colonial rule was terrible wasn't it.

Posted: 7/19/2008 10:40:42 AM EDT

[#23]

Wow, I wonder if they're beating Weimar Germany's hyperinflation yet?

Posted: 7/19/2008 10:41:52 AM EDT

[#24]

Quoted:

Quoted:
Printing more money will help.

+1

What kind of idiots would do that?

Who ever said they were smart?

I was making a crack about other idiots elsewhere doing the same kind of thing.

Posted: 7/19/2008 10:43:44 AM EDT

[#25]

Quoted:

Quoted:
So, $10 US dollars would equal a trillion Zimbabwean dollars, correct?

nope 10 trillion

You suck at math.

100 billion=1 US dollar.
10 x 100 billion = 1 trillion.

=10 US dollars

yes but by the time you put in the order for the bill it will be 1 trillion = $1

i252.photobucket.com/albums/hh2/ILIKEPIE_2008/i_see.jpg

cool a new pic to add to my collection

Posted: 7/19/2008 10:48:19 AM EDT

[#26]

Quoted:
No sympathy from me. That's what they get. And I would appreciate it if you all would call that country by its proper name, Rhodesia.

Harare's proper name is Salisbury.

Posted: 7/19/2008 10:57:09 AM EDT

[#27]

One Hundred Billion Dollars!

Posted: 7/19/2008 10:57:18 AM EDT

[#28]

Zimbabwe Ran out of Money to Print Money

CASH shortages have returned to haunt Zimbabweans.

Banks started rationing money on Friday, allowing clients to withdraw only Zim$5 million (about US$49) to avert crowd trouble, but most ran out of mint-print, prompting desperate clients to form overnight queues outside.

Official sources said the recent 150 percent pay rise for soldiers, teachers, policemen and nurses had put a strain on money supply.

Reserve Bank officials told IRIN that plans to print about Zim$60 trillion (about US$592.9 million) were briefly delayed after the government failed to secure foreign currency to buy ink and special paper for printing money.

Inflation has shot to 1,042 percent and is still climbing as the economic meltdown continues, putting Zimbabwe's rapidly dwindling working class in an ever more precarious position. Cash shortages were last experienced in 2003 and only ended after the introduction of high- denomination bearer cheques.

One bank manager told IRIN: "We don't have enough money. The best we can do is to share the little money that is there among our clients," but added quietly, "As the manager I can use my discretion and assist genuinely desperate cases."

However, his voice was not low enough and he was immediately surrounded by more than 20 people. "I need to pay $40 million [US$395] at the hospital, $5 million [US$49] is of no use to me," pleaded one man.

Another in his late 20s was equally desperate. "I need to withdraw $200 million [about US$1,976] by Saturday to pay the bridal price for my girlfriend, but at $5 million [US$49] a day I will not have enough money on the day," he lamented.

The manager, sweating profusely, escaped to the safety of another office.

Margaret Phiri, 36, who teaches at a school 70km east of the capital, was equally devastated.

"I had borrowed a total of $6 million [US$59] from friends and I was supposed to pay them back this week after getting my salary from the bank, but as things stand now I am in trouble because those people expect me to bring them their money, while I also need to get money to sustain myself," she said.

A soldier who refused to identify himself could not hide his frustration. "What do you think I will do with this $5 million[US$49]? It cannot buy much. I usually withdraw all my salary at once, but now I am being given the burden of coming to the bank again for more withdrawals," he complained.

The soldier was followed by murmurs of: "The government has failed," and "This is a sign of poor economic management."

It took a long wait on the sidewalk in a temperature of 25 degrees centigrade before Given Maramba, a Harare resident, reached the bank teller. "You really need nerves of steel to endure the torture of those queues - I queued for a solid three hours before I was finally served," he said, brandishing a wad of notes -

Posted: 7/19/2008 11:00:40 AM EDT

[#29]

Question....

Where do we buy a shitload of Zimbabwe money to use as Monopoly Money???...serious

Posted: 7/19/2008 11:04:20 AM EDT

[#30]

Quoted:
Question....

Where do we buy a shitload of Zimbabwe money to use as Monopoly Money???...serious

won't work
monopoly money is too valuable.
No zimbawian money denomination to match the game.

Posted: 7/19/2008 11:29:33 AM EDT

[#31]

Rhodesia was the last best hope for Africa.

Posted: 7/19/2008 11:31:37 AM EDT

[#32]

Quoted:
i24.photobucket.com/albums/c2/javaks/dr_evil.jpg

One Hundred Billion Dollars!

I was thinking the same thing.

Posted: 7/19/2008 11:56:44 AM EDT

[#33]

Mugabe said their inflation and shortages was caused by "speculators".

Sure.

It could happen.

Posted: 7/19/2008 12:55:14 PM EDT

[#34]

Quoted:
Mugabe said their inflation and shortages was caused by "speculators".

Sure.

It could happen.

Mugabe is high!

Actually, the reason to continue to actually print that much money is for internal polictical reasons, not economic. The money will still have value inside the borders, but outside the borders, the money is practically meaningless except for collectors. (I still have East German money that is sized as monopoly money. I think the coinage is made of aerogels covered in HD tin foil, the coins feel that light when you hold a bunch in your hand.)

So, the money still has some value within the system, but prices will also go up making the whole excerise a wash. But, everybody has money! YEAH!

They just don't have things to buy with it. That's the common mistake these systems make. You print out the money to distribute it, so the "people" can buy goods with it. The fundamental mistake is ignoring the reasons why there are no goods to buy in the first place.

The way to fix it is just as someone wrote on page 1. Get rid of the Government to get rid of the economic policies of that government. Then start over.

Posted: 7/19/2008 1:46:09 PM EDT

[#35]

That country needs to start over.

Posted: 7/19/2008 1:53:36 PM EDT

[#36]

We have much to learn from Africa.

Posted: 7/19/2008 2:07:20 PM EDT

[#37]

Quoted:
Wouldn't be to hard to gather some people that rent a private army to overthrow the regime and start Rhodesia 2.

the world wouldn't allow it. "racism" is worth than mass death and starvation

Posted: 7/19/2008 2:11:52 PM EDT

[#38]

Quoted:
Rhodesia was the last best hope for Africa.

So what?!.......

Black rule is FINALLY being shown for what it is.........a cluster fuck!

Can we go back to whitey running things now?

.........or would you rather just live in your own excrement and starve?

Posted: 7/19/2008 2:15:12 PM EDT

[#39]

Quoted:

Quoted:
Rhodesia was the last best hope for Africa.

So what?!.......

Black rule is FINALLY being shown for what it is.........a cluster fuck!

Can we go back to whitey running things now?

.

No, they're going to give the chinamen a try.

Posted: 7/19/2008 2:18:01 PM EDT

[#40]

Quoted:

Quoted:
Printing more money will help.

I'm anxiously awaiting the $1 trillion bank note

That should be on Tuesday. And when they do, I would pay them 100 USD to put Jimmy Carter's picture on it and send me one!!!!

Posted: 7/19/2008 2:18:29 PM EDT

[#41]

Another News Article

Gono said he was also considering raising the amount of cash people could withdraw daily from their bank accounts. The central bank has imposed a withdrawal limit of Z$100 billion, but this is only enough for two trips on an urban commuter bus or two loaves of bread -- if one can find it.

That new 100,000,000,000 $Z "bearer cheque" will buy you two loaves of bread.

Z$ to US$1.00
Current value: 404,332,849,598
Previous value: 270,477,236,528
Change: -133,855,613,070
% change: -49.49%
52 week high: 404,332,849,598
52 week low: 118,784
% change ytd -7,961,669%
% change yoy: -334,978,732%
Fri 18 July 2008

At some point, the population of Zimbabwe will simply stop accepting Zimbabe money for transactions. There will probably be a black market that dwarfs the "real" market and it will use the South African Rand or some other, more stable, currency.

My favorite part is that Zimbabwe is probably only country in the world that puts an expiration date on their money. It will also probably be the first currency printed in scientific notation.

Posted: 7/19/2008 2:41:58 PM EDT

[#42]

I heard on the news this morning that a $50 BILLION Zimbabwe bill is worth about 33 U.S dollars.

Now THAT'S funny!

Posted: 7/19/2008 2:42:14 PM EDT

[#43]

Quoted:

Quoted:
Printing more money will help.

Nothing they do or could have done with their money would make a difference...

When you completely destroy all significant economic activity within your country, you can go 2 ways: hyperinflation or hyperdeflation....

Either your money becomes worthless, or it quickly leaves the country...

Farm Nationalization for the FAIL...

What is the proper course of action that needs to be taken to fix their economy?

get rid of the gov't
give the farms back to the people that knew how to run them

Posted: 7/19/2008 2:43:42 PM EDT

[#44]

Quoted:

I heard on the news this morning that a $50 BILLION Zimbabwe bill is worth about 33 U.S dollars.

Now THAT'S funny!

It's already gone down since then.

Posted: 7/19/2008 2:49:11 PM EDT

[#45]

Quoted:

Quoted:
Rhodesia was the last best hope for Africa.

So what?!.......

Black rule is FINALLY being shown for what it is.........a cluster fuck!

Can we go back to whitey running things now?

.

No, they're going to give the chinamen a try.

Well that should be fine then. The Chinese can't be racist because they aren't white.

Posted: 7/19/2008 2:51:49 PM EDT

[#46]

US billions or REAL billions?

Posted: 7/19/2008 2:51:51 PM EDT

[#47]

An enterprising soul in Zim should ebay these notes.

Worth way more as a novelty.

Posted: 7/19/2008 3:08:00 PM EDT

[#48]

Quoted:

Quoted:
Rhodesia was the last best hope for Africa.

So what?!.......

Black rule is FINALLY being shown for what it is.........a cluster fuck!

Can we go back to whitey running things now?

.

No, they're going to give the chinamen a try.

Hehehe...

Posted: 7/19/2008 3:14:38 PM EDT

[#49]

Is there a serious place that sells the bills other then ebay? I would like to get some, yes I know they are worthless even before they ship.

-JTP

Posted: 7/19/2008 3:14:57 PM EDT

[#50]

Who are the idiots bidding on these eBay auctions?

[ARCHIVED THREAD] - Zimbabwe Introduces $100 Billion Banknotes (Page 1 of 2)

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