Just whats the answer to Argentina’s coin shortage
June 23rd, 2009
After a year of coin shortages in Argentina this is still a problem facing the country. There may be a way around this that the chinese have come up with: printing their own money.
Chamber, the Chinese owned supermarket brand in Argentina which has connections to most of the markets throughtout the country is giving customers money vouchers when the change in thier tills runs out. Chamber is using this as a plan to retain brand loyalty with the company in the country and save the chain money from allowing them to make less trips to illegal coin holders. This si the doing of illegal coin holders who have sprung up in a underground black market trade sicen the money shortage started. the illegal coin trade that is going on at the moment is seeing the coin holders charge rates of 15% and going to people’s houses to supply them.
With the state of the current economy it has been not that people dont have the money so much as the dont want to spend it. Rather than spending they have been saving. The same thing is happening in Argentina -except people having started hording their coins so they dont get caught short, and therefore causing the coin shortage. The government has placed millions of more coins into circultaion to try and solve the problem, but people are starting to horde the coins. The coins are mainly used for public transport, which now has a prepaid ticketing system that cost $57 million to implement as an attempt to keep more coins in circulation. This was also to stop the 3% interest that the transport companies were putting on the price of exchanging coins, as a ‘diposal fee’.
Normal 0 false false false EN-US X-NONE X-NONE MicrosoftInternetExplorer4
Is there light at the end of the tunnel for the countries money problem? The recently minted 136 million new coins being minted and a new prepaid card travel system are hoped to help ease the problem. We could be seeing the country starting to pull themselvers out of this hole.
Go here to exchange foreign coins or to have cash conversions
Posted in 
Tags: 