Parallel market for foreign exchange and hyperinflation: the case of Congo-Kinshasa Online publication date: Tue, 15-Dec-2009
by Claude Sumata
International Journal of Trade and Global Markets (IJTGM), Vol. 3, No. 1, 2010
Abstract: This study analyses the relationship between exchange rate reform and inflation in Congo-DRC, during the 1980s and 1990s. Attempts to unify official and black market exchange rates by officially floating the domestic currency has led to a large increase inflation, with an acceleration in the rate of local currency depreciation. Such hyperinflation has damaged the credibility of the economic reforms and weakened official commitment to it thereafter. The phenomenon of Dollarisation is determined by situations in which more than one currency is used as means of payment. A leading foreign currency like the dollar tends to replace the domestic currency.
Online publication date: Tue, 15-Dec-2009
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Trade and Global Markets (IJTGM):
Login with your Inderscience username and password:
Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.
If you still need assistance, please email email@example.com