Steve Hanke, a professor of applied economics at Johns Hopkins University, says Zimbabwe should abandon its local currency and officially adopt the US dollar to tame runaway inflation.
According to Hanke’s Inflation Dashboard, Zimbabwe currently has the highest rate of inflation in the world at 244 per cent followed by Lebanon whose rate of inflation is 161 per cent.
According to figures released by the Zimbabwe National Statistics Agency (ZimStat) about a month ago, the country’s year-on-year inflation was 96.40 per cent. Lebanon’s official inflation rate is 208.13 per cent. Said, Hanke:
In this week’s inflation table, #Zimbabwe takes the 1st prize. On May 19, I measured Zimbabwe’s #inflation at 244%/yr.
Almost 3x the official inflation rate of 96.4%/yr. It’s time for Zimbabwe to dump the Zim Dollar & officially adopt the USD.
However, the Zimbabwean Government, despite promoting the use of the US dollar in domestic transactions, insists it has no plans to dump the Zimbabwe dollar.