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Note of 5 Crore Zimbabwean Dollar

Have you heard of a country which is dotted with malls filled with goods, but no customers? It is Zimbabwe.

Zimbabwe is a classic case of how inflation can make life hell for people. Experts say it all started with Mugabe's regime. Whatever may be the reason, the basic flaw in Zimbabwe's economy is that Zimbabwe lost its ability to feed itself.

So, if you don't have enough agriculture commodities the prices are bound to go up. This is one lesson India can learn from Zimbabwe.

India's wheat, rice, pulses and edible oil production is not enough to keep pace with the growth the country is witnessing. That is why Indian government is worrying about the rising inflation rates.

Zimbabwe's skyrocketing inflation -- now the world's highest, running at 165,000 per cent a year -- keeps the cost of living rising.

This year, Zimbabwe's shortfall in maize is 360,000 tonnes, and its shortfall in wheat is 255,000 tonnes.

Streets of Zimbabwe are dotted with shopping mall. That shows that there is food on the shelves, but all of it highly priced.

With cash almost a worthless possession, people have started investing in something different. They stack bags of maize meal in their homes.

A sausage sandwich sells for 3 crore Zimbabwe dollars (about US $1.25, 50 Indian Rupees).

In August 2006, a new revalued Zimbabwean dollar was introduced, equal to 1000 of the prior Zimbabwean. The exchange rate fell from 24 old Zimbabwean dollars per U.S. dollar (USD) in 1998 to 250,000 prior or 250 new Zimbabwean dollars per USD at the official rate, and an estimated 120,000,000 old or 120,000 revalued Zimbabwean dollars per US dollar on the parallel market, in June 2007.

The minimum currency note (denomination) made available by bank is 250,000 Zimbabwean Dollar. Their bank has just announced to launch the currency note of 5 Crore Zimbabwean Dollar.
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