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	<title>CFOsnafu.com &#187; Zimbabwe</title>
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	<description>Some days it should be legal to keep two sets of books</description>
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		<title>Zimbabwe still losing battle against hyper-inflation</title>
		<link>http://www.cfosnafu.com/zimbabwe-still-losing-battle-against-hyper-inflation/</link>
		<comments>http://www.cfosnafu.com/zimbabwe-still-losing-battle-against-hyper-inflation/#comments</comments>
		<pubDate>Tue, 29 Jul 2008 10:00:45 +0000</pubDate>
		<dc:creator>Shane Borer</dc:creator>
				<category><![CDATA[Bankruptcy]]></category>
		<category><![CDATA[Latest news & views]]></category>
		<category><![CDATA[Africa]]></category>
		<category><![CDATA[Bank notes]]></category>
		<category><![CDATA[Currency rate]]></category>
		<category><![CDATA[Suffering economy]]></category>
		<category><![CDATA[Zimbabwe]]></category>

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		<description><![CDATA[Thanks to economic turmoil, this country&#8217;s bank notes have more value as collectibles than as currency. And that&#8217;s not even the worst part. Off the top of your head, how much would you think a one-hundred billion dollar Zimbabwe bank note is worth in American currency? It depends on who&#8217;s buying, but both answers are [...]]]></description>
			<content:encoded><![CDATA[<p>Thanks to economic turmoil, this country&#8217;s bank notes have more value as collectibles than as currency. And that&#8217;s not even the worst part. <span id="more-184"></span></p>
<p>Off the top of your head, how much would you think a one-hundred billion dollar Zimbabwe bank note is worth in American currency?</p>
<p>It depends on who&#8217;s buying, but both answers are bad news for the African country: The official conversion rate is $5 for every one-hundred billion Zimbabwe dollars, but collectors have been paying up to $80 for each note on eBay.</p>
<p>The new note, launched this week, was an attempt to help the suffering economy, but it&#8217;s already too little, too late. One note is usually worth enough to buy a single loaf of bread, but only if residents are lucky enough to find food on depleted store shelves.</p>
<p>More signs of the poor times:</p>
<ul>
<li>It&#8217;s actually cheaper to light a fire with lower-denomination bills than it is to use newspaper.</li>
<li>Lottery prizes and house prices are listed in the quadrillions.</li>
<li>Inflation is quoted at 2.2 million percent by official estimates, but independent analysts quote it close to 12.5 million percent.</li>
<li>Beggars and homeless don&#8217;t bother to pick up dropped bills on the street.</li>
<li>Converting Zimbabwe dollars into U.S. dollars is pointless &#8212; by the time the funds are processed, Zimbabwe currency can be expected to be worth even less.</li>
</ul>
<p>It&#8217;s not just the poor suffering &#8212; a financial director for a prominent company in the country claimed his salary comes out to $50 U.S. dollars per month at the currency rate. At his local sports club, a hamburger costs $12 U.S. dollars. (He hasn&#8217;t eaten out in over a year.)</p>
<p>Even worse for the rank-and-file: One worker actually earns less than his daily bus fare to work, but makes a slight profit by selling firewood he takes home with him.</p>
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