Venezuela

[Schneemann]

Venezuela will slash value of currency, the bolivar

Venezuela's President Hugo Chavez has announced that the national currency, the bolivar, will be devalued for the first time since 2005, by at least 17%.

The bolivar, whose rate is set by government decree, will be devalued from its current rate of 2.15 to the US dollar to 2.60 for "priority" imports. However, the bolivar will be worth 4.30 to the dollar, a 50% devaluation, for items considered non-essential.

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Schneemann.