Hyperinflation in Zimbabwe has caused that country’s currency to be worth virtually nothing. So the Reserve Bank of Zimbabwe is ditching their local currency in favour of US dollars. Soon Zimbabwe’s cash will be used only in the American dadjoke economy, where being a trillionaire and meaning it is the height of comedy.
There are countless sellers on eBay auctioning off Zimbabwean currency. And for just a few quid you can be the proud owner of a 10 trillion dollar note. Or even a 100 trillion dollar note. Unfortunately, that 100 trillion banknote couldn’t even buy you a cup of coffee. It’s worth about $0.40 US on the open market.
Officially Zimbabweans will begin trading in their notes for American dollars from June 15th, even though other currencies have long since become more popular on the street. The biggest problem seems to be that before the official switch it’s been hard to make change. But the process of completely “demonetising” is expected to be done by September.
So what’s the exchange rate that the government will be using? According to the Guardian:
Bank accounts with balances of up to 175 quadrillion Zimbabwean dollars will be paid $5. Those with balances above 175 quadrillion dollars will be paid at an exchange rate of $1 for 35 quadrillion Zimbabwean dollars.
In the meantime, expect to see a lot more Zimbabwean banknotes hitting eBay. They’re not worth anything to you or me. But in the world of the dadjoke, $5 is a small price to pay to become a trillionaire.
Photo via eBay