BBC NEWSAmericasAfricaEuropeMiddle EastSouth AsiaAsia Pacific
BBCiNEWS  SPORT  WEATHER  WORLD SERVICE  A-Z INDEX    

BBC News World Edition
 You are in: Business 
News Front Page
Africa
Americas
Asia-Pacific
Europe
Middle East
South Asia
UK
Business
E-Commerce
Economy
Market Data
Entertainment
Science/Nature
Technology
Health
-------------
Talking Point
-------------
Country Profiles
In Depth
-------------
Programmes
-------------
BBC Sport
News image
BBC Weather
News image
SERVICES
-------------
EDITIONS
Friday, 8 November, 2002, 11:52 GMT
Zimbabwe 'running out of bank notes'
500 Zimbabwe dollars
Worth about 20 pence - but like gold-dust in Harare
Zimbabwe's economic crisis has created crippling shortages, and now even bank notes are proving hard to come by.

The Reserve Bank of Zimbabwe has said it will step up monitoring of all but the smallest cash transactions, in the hope of stopping bank notes disappearing from circulation.

Growing demand for large volumes of cash - used, officials say, for untraceable money-laundering operations - has reportedly left big bank notes in short supply.

The Bank has set up a Financial Intelligence Unit to track suspicious cash transactions, and may push forward plans to introduce a new 1,000-Zimbabwe-dollar note, twice the size of its current biggest denomination.

Economic spiral

The Bank's taskforce will look at all transactions in excess of 500,000 Zimbabwe dollars.

At official exchange rates, that is over US$9,000 (�5,700), but on the black market, the Zimbabwe dollar is trading at around 1,800 in the US currency - and falling fast.

Inflation is rampant in Zimbabwe: it hit an annual 140% at the last count, which means many Zimbabweans have to deal in ever larger quantities of cash.

The weak Zimbabwe dollar has left the country short of vital imported goods, which in turn has pushed prices up still further.

At the same time, the authorities also allege rampant money laundering, as rich individuals attempt to spirit their liquid assets out of the country.


Key stories

IN DEPTH

CLICKABLE GUIDE

TALKING POINT

AUDIO VIDEO

FORUM
See also:

24 Oct 02 | Business
18 Sep 02 | Business
21 Mar 02 | Africa
Internet links:


The BBC is not responsible for the content of external internet sites

Links to more Business stories are at the foot of the page.


E-mail this story to a friend

Links to more Business stories

© BBC^^ Back to top

News Front Page | Africa | Americas | Asia-Pacific | Europe | Middle East |
South Asia | UK | Business | Entertainment | Science/Nature |
Technology | Health | Talking Point | Country Profiles | In Depth |
Programmes