The International Monetary Fund predicts that prices in its ravaged economy will surge by 1.37 million percent this year, as its hyperinflation accelerates.
By 2019, the Fund believes inflation will have soared even further, to a scarcely believable 10,000,000%, as the government prints more and more money to meet its obligations, The Guardian reports.
Venezuela’s plight is so extreme that the country had to be removed from the IMF’s wider forecasts for emerging markets.
Back in August, President Nicolas Maduro slashed five zeroes off the bolivar, and hiked the minimum wage by 3,000 percent.
But the IMF clearly has little faith in Maduro’s efforts to tackle the crisis, saying:
Venezuela’s hyperinflation is expected to worsen rapidly, fueled by monetary financing of large fiscal deficits and loss of confidence in the currency.
Source: The Standard