The Central Bank approved 10k and 20k peso bills

[FrankPintor]

How do you spell Venezuela?

With a spelling checker like you did of course.

I wouldn’t go to town yet on the inflation figures, I’ve seen very different ones

 

[retiredbanker]

With a spelling checker like you did of course.

I wouldn’t go to town yet on the inflation figures, I’ve seen very different ones

My comment was directed at the printing of larger bills as a tacit surrender to inflation, as in Venezuela. Other than that and a common language, the 2 are vastly different counties. Seems lots of Venezuelans come to Argentina but few, if any Argentines go there.

 

[Ries]

The USA pioneered this idea, as the highest denomination in dollars is a Samsonite, which is worth $1,000,000. (Thats the value of how many benjamins will fit in one). The big cabeza is still the most desirable bill everywhere. 80% of the us hundreds are outside of the usa, with something over $150 billion in actual paper hundred dollar bills in argentina.

 

[Summer]

This was working till 2 digits inflation, and before widespread digital payments. Now it's just inconvenience to carry bunch of worthless papers, that takes forever to count, not to mention the cost of manipulation for businesses and state. To get 1 mio usd worth of peso to the bank is now logistic project, that cost a lot more than it would, if you would have higher notes.

Last time my son found 2 peso coin, and I almost cried. 10 years ago it was common payment option, now is less than worthless. Businesses just put prices in round 00 now, and will be doing 000 if needed. Have no impact on inflation itself.

Inflation is determined by monetary policy and fiscal policy, wage growth, as well as economically illiterate (Argentine govt) things like price controls.

Banknote denominations make zero difference, except maybe the nice leather wallets for sale in argentina can be actually be used rather than the small cloth bag I’ve been carrying around.

 

[Quilombo]

While I get the digitalization push, I think people (both here and in the government) need to also remember that Argentines do not trust banks, and for good reason. There are millions who have never recovered from corralito over 20 years later, so as much as the BCRA may want and like digital payments in pesos or dollars, you can't force people to unlearn the lesson of keeping their life savings in a bank and watching it disappear, so keeping small denomination bills isn't going to change the behavior learned from this, it just makes 20 person lines at ATMs a common occurrence the first week of the month.

It's also humorous to me this idea that cash = money laundering; sure, it's easier with larger denomination bills, but using crypto currencies is a much easier way to move money around for illegal purposes, and hundreds of thousands of Argentines are already doing this that work remotely en negro abroad.

But I digress; a 20K bill is better than a 2K one, and this design has less homophobic, nazi sympathizing peronists on it.

 

[Jtee125]

I have still not gotten one single 2000 peso bill, either as change or from cuevas.

I have still just seen one and I keep it as it seems so niche still

 

[mikic007]

I have still just seen one and I keep it as it seems so niche still

In provincia they are fairly common, lately I get only those, around 500k already.

 

[Jtee125]

In provincia they are fairly common, lately I get only those, around 500k already.

Only been back in BA a week. Hit up WesternUnion once and they only gave me 1000s so I’m not terribly representative. I just rather keep it as it’s still so novel for me - at least in the last week

 

[SinPulgas]

I have still just seen one and I keep it as it seems so niche still

I've had lots.