Meeting between BCV and CBN

Banks will exchange banknotes and Coins as of January 1st, 2008

Yesterday, during a meeting with the Board of Directors of the Central Bank of Venezuela, the president of the National Banking Council, Victor Gill Ramírez, informed that the members of the Council promise to provide the service of exchanging current bolivars for bolivar fuerte (Bs. F.) as of January 1st, 2008, date when the currency redenomination process will come into force in the country.

Spokespersons from the issuing institute pointed out that current banknotes and coins will be exchanged for the new currency as of  January 1st, 2008, and for an unlimited period of time, according to population's needs.

Representing the Council attended: Victor Gill Ramírez, president; Luis Xavier Luján, second vice-president; Alejandro Flat González, Hernán Santamaría and Héctor Mantellini directors.

The president of the issuing institute, Gastón Parra Luzardo addressed the welcome words accompanied by José Ferrer, vice-president and Armando León and Rafael Crazut, directors. 

Parra specified that the purpose of the meeting was to have an initial contact to exchange views regarding the implementation of the Decree-Law of Currency Redenomination.  With respect to that matter, Armando León, director of the Central Bank, gave a presentation.

Parra Luzardo said that "The Central Bank of Venezuela carried out several studies about the feasibility of implementing a currency redenomination measure. The result of the investigation showed that it would bring benefits to the population so, BCV agreed to begin with the project.”

Regarding that matter, he emphasized the importance of having close relations with those key sectors that may help to put the measure into practice.

It was agreed to establish two ruling committees in order to build up all the different aspects of the process, these groups will be subdivided in several subcommittees to deal with topics like: cash handling, treasury and systems, among others.

Likewise, members of the National Banking Council called the attention to the good disposition and determination exposed by the financial institutions to promote the changes and adaptations of the technological systems.

Victor Gill expressed "The financial system is convinced of the challenge we have ahead. We have begun to work and we will continue in a coordinated way”. According to his approach, the economy of the country has all the conditions to put the measure into force. "After the instability registered in part of the eighties and nineties, we see a horizon of stability and growth, the only pending business is to control inflation and we know that currency redenomination is part of a group of measures being taken in order to control it."

In his presentation, Armando León, specified that the currency redenomination process is being carried out in a favorable environment were a series of medium and long term measures have been taken to maintain the stability of the national economic growth.

He underlined that the new currency family will be known in October, so that people can have the opportunity to get familiar with it