Posted on 05/07/2016 12:20:37 PM PDT by Lorianne
When Jim Chanos said earlier this week that days ago that sub-Saharan Africa is facing a severe cash shortage (mostly as a result of their collapsing oil export revenue) he probably did not have the economic basket case of Zimbabwe in mind, and yet this is the country which, after years of monetary and economic collapse "problems", including the occasional bout of hyperinflation, finds itself in the most dire situation.
As News24 reports, just this past week, Zimbabweans formed long queues outside banks on Thursday as a cash shortage prompted the government to announce plans to print a local version of the US dollar and limit withdrawals.
Indeed, it appears that Zimbabwe is about to unveil yet another monetary experiment in which it will print its own version of the US dollar, as an ailing economy fuels a severe cash shortage.
John Mangudya, Zimbabwe’s central bank governor, said Thursday the so-called bond notes will be backed by $200 million in support from the Africa Export-Import Bank, according to the Herald, a local government-owned newspaper. He also announced restrictions on cash and ATM withdrawals, as well as limits on how much cash people can take outside the country.
(Excerpt) Read more at zerohedge.com ...
And now we have a new source of US dollars should the US essentially make cash illegal.
They are circulating bonds backed by US dollars. The next logical question is what, exactly, backs the US dollars?
From a food exporter to a basket case. Same land, different people in charge.
Heaven forbid the MSM or the academics would study and report on that fact.
I think it’s a pile of elephant dung, symbolizing the value of socialism.
nothing backs it.
We should print red 1,000,000,000 bills and pay our debt to the Chinese with them.
it’s how they pay their debts, they just print what they need to pay the bill.
Mugabe should be hung.
you talked to that guy too?
He said the deal was just for me.
an IOU from a Zim bank.
means nothing
I'm trying to make connections that I don't think have been made. Gold and silver are at pretty good levels compared to not too long ago. If folks in other countries can just print bogus money like the Federal Reserve does, it seems to make sense to have some gold or silver. Could that be why they're increasing in price?
The Germans produced technically perfect British Pound notes during WWII. The Bank of England caught them almost immediately. The Germans foolishly paid their secret agents in the funny money.
I wonder if they had some sort of secret embedded in the paper or maybe it was just serial numbers. I still don’t know how they did it.
Anyway we don’t seem to be able to spot Iranian and Nork counterfeits.
When Israel and Lebanon were at war, a misfired SAM or something hit one of the government buildings. Uncut $100 bills were all over the place. The US does not ship that denomination uncut. I guess Zimbabwe is the latest. Next up, Zimbabwe style inflation here.
No different than what Obongo has been doing here.
Well, they could always export us some more of their FALs leftover from Rhodesia.
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