Bank of Zimbabwe

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Geez, the Bank of Zimbabwe just released a 100 Billion Dollar banknote today worth about $1, to ease cash shortages.

http://network.nationalpost.com/np/blogs/fpposted/archive/2008/07/22/cost-of-an-egg-in-zimbabwe-35-billion.aspx

According to www.xe.com, 1 Canadian dollar is worth 18,536,570,499.36 Zimbabwean dollars as of now, using the official rate. The black market rate is sure to be much higher. That means the 100 billion dollar Zimbabwean "Special Agro Cheque" is actually worth the same as that 5 dollar bill that I'm sure is in your wallet. Anybody want a 35 billion dollar egg?

Zimbabweans used to laugh at Zambia's currency, the kwacha, as Monopoly money. Nowadays, in Victoria Falls on their own side of the border, Zimbabweans are using kwacha as a hard currency, while the Zimbabwean dollar loses half its value every few days.

In August 2006, Zimbabwe's central bank issued a one cent note. In May this year, it issued a Z$50-billion note. At the time it was worth about $4 (R30); now it is just 33 US cents, and that won't be for long.

Meanwhile, an advert in Thursday's Harare Herald newspaper trumpeted that this week's Lotto bonanza is "Z$1,2-quadrillion" in prizes (about $4 100, and not for long either).

But check out the price for the $100 Billion notes on E Bay. Is it really that important that these are the last ones printed in Germany? Crazy!

I'd like to get a couple of them just to have them. They're pretty cool, but I think I'll wait a little while. Maybe we'll see $1 Trillion! Does anyone know anyone in Zimbabwe that wants hard currency?

http://cgi.ebay.ca/ZIMBABWE-100-000-000-000-2008-UNC-RARE-100-Billion-NOTE_W0QQitemZ140251932135QQihZ004QQcategoryZ162228QQssPageNameZWDVWQQrdZ1QQcmdZViewItem

Pfft. That 100-billion note isn't even uncirculated.

Just for the record, there have been even larger denominations issued by other countries in the past.  See this: 

www.economist.com/daily/chartgallery/displayStory.cfm?story_id=11819514&source=features_box_main

The zimbabwean dollar has been reevaluated by a factor of 10 billion on August 1st, so  10 billion old ZWD are valuated at 1 new ZWD (http://www.rbz.co.zw/pdfs/2008Julymps/mps.pdf), and according to xe.com, the current exchange rate is around 7.5 new zimbabwean dollar for one canadian dollar...