Monday , January 18 2021

Bolivar decreased 99.96% in a year due to increase in the price of the dcm

January 6, 2019 01:15 AM

In February, the floating floating exchange rates carried out by the Central Bank of Venezuela resulted in the first auction of the exchange system, resulting in a cost of 0.24 bavrers (24,996 of the previous financial converts). Throughout the year, the official exchange rate rose to 638.18 bn on December 28, which was the last bid of 2018. Bolivar dropped 99.96% in a year.

During that period, the official rate of dollar was increased by 265,808.3%. Economists say that the government is trying to shut down the gap between the DICOM exchange rate and the parallel market. Your Herrera, the director of the company Santasis Financiera, said that the executive has given a clear signal of depreciation by bringing the official exchange rate closer, which has become more tidy in the last two months of the year. "It is an economic policy decision that reflects the intent and direction of the Ecuadoran advisory group."

Economist added that in 2018, the government undertook several attempts to open exchange rates. He remembered that on August 17, he devalued Bolivar by "cruelly" Dammam by matching parallel market to 60 similar sovereign bowlers. However, the measures that were taken, according to him, were "poor advertising, incomplete and disappointing", ultimately, very strong depreciation began. "Although it was later fixed, the difference was spread anyway and the government had to start the parallel race again."

Indeed, the highest jump in the official market last year was that President Nicholas Maduro announced economic measures on 17 August, which increased 60bill in 2.49 (249,000 Bolivars) dollars. , A variation of 2,309.6% and the devaluation of 96% of the Bolivar.

In the first auction of Discom, in the Recovery, Development and Economic Prosperity Program, the resulting rate was 60.27 bolver. Increasingly parallel is an important approach.

Maduro also said in his speech that he would increase the frequency of auction to 3 weeks to reach 5. In the first 4 months of the economic plan, BCVA had auctioned a total of 43, the last date was on December 28.

Sovereign with financial change on 20th August, which spent some time 20 months ago, the dollar's value increased 963.63% to 93.75%. Even with the highest bonus ticket, 500 Bolivars, which are already 50 million Bolivar, a person can buy dollars in the official market.

The economist Louis Vicente Leone, president of DataNallis, explained that in hyperflationation process it is obvious that the exchange rate should start ruthlessly. "At the end of the sale of any state, for example, remittances. At that time, people do not see the exchange in any sense when people can get more Bolivia on a black market."

Deputy Angel Alvarado, member of the National Assembly's Finance Committee, reminded that for some time the government wants to seize remittances, but it could not be enabled because it offers much less than market offer.

Econlítilica director, Asradub Oliveros confirmed that 31% of Venezuela's people are sent money or earned income in dollars. In order to compensate for the sharp decline in purchasing power due to hyperinflation, the currency has allowed mainly the middle and lower-class families, this is an economic event that registers 1,299,724% annually, which is the highest in the history of the region. Agreement with Parliament

He said that the government tries to moderate the expectations generated by hyperinflation and encourages private sector to sell in the official system.

In the last bid of the year, in the decade of December 1, the minimum salary of 4,500 Bolivar was equivalent to $ 7 in the American currency, which means that the threshold of extreme poverty set by the United Nations is less than $ 1.25 a day. United Income declined 76.6%: When Maduro announced in August, the monthly return was 30 dollars when pay increased.

Central Bank announced that tomorrow it will be the first auction of Decam 2019, which will be 44 numbers after the government starts its "Economic Recovery" program.

"The government depreciates to try to moderate the expectations generated by hyperinflation and to encourage private sector to sell in the official system."

Asdrúbal Oliveros,

Director of Economics

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