You may be wondering what this all means. Most of us assume that the value of the Zimbabwe dollar is meaningless anyway but when some, thought that things could not get any worse for Zimbabwe, the worthless local currency continues to plummet to record low levels.

Today it has been reported that one US dollar will get you 1 billion Zimbabwe dollars! And this 1 billion dollar rate can fluctuate to as high as 1.45 billion depending on whether you are trading using cash. As cash has now become a very rare commodity in Zimbabwe, if you want to trade your foreign currency and you want cash back, you will pay a premium.

As one can imagine, the prices of everything in Zimbabwe have gone through the roof due to the weakening currency. In the past, foreign currency trading in Zimbabwe was done through the ‘black market’ as the banks were forced to trade at a rate much lower than that of the black market. But in early May, the reserve bank decided to float the currency and thus banks could trade using the black market rates.

It is all doom and gloom in Zimbabwe right now with millions hoping there will be a change to all of this come the presidential election run off taking place on 27 June.

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