VENEZUELA HIRES CRANE CURRENCY FOR NEW NOTES

Venezuela’s Socialist government, a vocal critic of the dollar’s global dominance, has hired the exclusive supplier of U.S. currency paper to provide the bulk of its new bank notes.

Earlier this month, Venezuela’s central bank awarded Boston-based securities printer Crane Currency the largest part of a contract for new bill denominations needed to keep up with triple-digit inflation, according to people involved in contract negotiations.

“Given their antipathy towards the U.S., I’m surprised that they would even let a U.S. firm participate,” said Owen Linzmayer, a San Francisco-based banknote expert who catalogs world currencies.

The central bank and Crane, which has provided the U.S. Treasury with blank currency paper since the 1879, declined to comment.

As inflation soars, the bills in circulation across Venezuela are nearly worthless, turning the most basic transactions into logistical nightmares and saddling local banks with crippling money-handling costs. ATMs run out of cash in just a few hours and coins have little to no use in a country afflicted by a deep economic contraction and rising political turmoil.

Struggling with runaway inflation, Venezuela’s central bank chose several companies, including Crane and U.K.-based De La Rue. The firms will deliver new notes going up to 20,000 bolivars in December. At present, the biggest note in use is the 100-bolivar bill, which is worth eight cents on the black market.

To read the complete article (subscription required), see:
Inflation-Racked Venezuela Turns to Company Behind U.S. Dollars for New Bills (www.wsj.com/articles/inflation-racked-venezuela-turns-to-company-behind-u-s-dollars-for-new-bills-1477941766)

	NBS (coinbooks.org) Web