The monetary reconversion that came into effect as of today, “will not put a brake on inflation, because the bolivar does not have a way to maintain its value, causing the dollar to become the currency of daily use.” This was stated by the economist Benjamin Tripier.

In his opinion, the Venezuelan government is not carrying out a monetary reform, they are just eliminating six zeroes from the currency. For a reconversion it is necessary to consider some “deeper variables to transform, and incorporate changes, to achieve a stabilization of the currency. With this (reconversion) there is no stabilization or brake on inflation. The bolívar does not gain confidence”, he sentenced.

For Tripier, citizens do not have confidence in the short or medium term in the new denomination of the bolivar because if they do so they will be losing. “Everything will be done is in dollars. Now our currency is the dollar. That an important recognition: allowing the dollar to circulate freely. “

The economist and president of the New Technology business firm, considers that “70 % of liquidity in transactions in Venezuela is made in dollars, and 30 % in bolivars.” But of that 30 %, only 10 %, that is 3 %, is made in bolivars and in cash. “The new cone is to satisfy that 3 %; while for the other 27 %, which is digital, which is done by debit card, the great advantage is the number of zeros that we are no longer going to write,” he explained.

However, he affirms that the reconversion will have a more profound impact because the new bolivar will become the minimum, it does not have cents and in his opinion the public institutions and everything that is associated with the tax unit will have to make adjustments. “It will be adjusted to 1 bolívar (…) I do not think that public institutions and everything associated with the tax unit remain at 0.02 bolívares.”

M. Rodríguez

Fuente: bancaynegocios

La entrada The conversion makes the dollar official national currency apareció primero en Bitfinance.

The vice president of Venezuela, Delcy Rodríguez, reported that from September 30 at approximately 8:00 pm, and until 6:00 am on October 1st, banking activities will be restricted due to currency reconversion.

This was reported by Rodríguez, during a press conference after having held a meeting with representatives of Venezuelan banking entities.

It is estimated, according to the vice president, that from the morning of October 1st, operations will begin to activate gradually.

On the other hand, Rodríguez stressed that this action within the Venezuelan economy “is not affecting the value of the bolivar; the bolivar will continue to be worth the same”, recalling that one of its objectives is to “preserve the national currency facing the Digital Bolivar.”

K. Tovar

La entrada Venezuelan banking will be inactive soon apareció primero en Bitfinance.

The Central Bank of Venezuela (BCV) announced that as of October 1st, the Bolívar Digital will come into effect in Venezuela, which implies a monetary reconversion.

The Venezuelan agency detailed through a statement that the new monetary cone arrives to facilitate transactions for the general population.

This new scale will remove a total of six zeros from the local currency, being the equivalent of what is now known as 1,000,000 bolívares to just 1 bolívar.

The BCV assures that this measure comes at a historical moment in which Venezuela is going through a process of economic recovery.

In the issuing entity’s statement, it is clarified that “the introduction of the digital bolivar does not affect the value of the currency“, so that “the bolivar will not be worth more or less“, but rather that it seeks to carry out simpler transactions.

K. Tovar

La entrada BCV announces new currency reconversion in Venezuela apareció primero en Bitfinance.