Foreign credit card transactions increase circulation of scarce dollars in Venezuela

Reported 7 months ago

Transactions made with foreign credit cards in Venezuela are helping to introduce more foreign currency into circulation, assisting the government in maintaining a fixed exchange rate to control inflation. Since the government relaxed currency controls five years ago, the use of U.S. dollars alongside the local bolivar has increased. This has resulted in about $60 million per month from foreign credit and debit card transactions being sold by local banks, benefiting retail and industrial businesses in need of foreign currency for imports.

Source: YAHOO

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