Zimbabwe’s Reserve Bank has issued a Z$100 billion dollar note due to the huge rise in inflation.

The Reserve Bank of Zimbabwe has issued a Z$100 billion dollar note in response to the country’s huge rise in inflation – on 21 July, one British pound was the equivalent to around Z$1.2 trillion.

The Bank has listed the country’s inflation rate, year-on-year, as being 100,580.2% in January 2008, when inflation was already rife. According to UK national newspaper, The Guardian, Zimbabwe’s current rate of inflation – hyperinflation – stands at 2.2 million %, while unemployment in the country has reached more than 80%.

In an effort to help the country’s economic situation and also end the ongoing violence, a Memorandum of Understanding (MoU) has been signed by President Mugabe’s Zimbabwe African National Union – Patriotic Front (ZANU PF), and two factions of its opposition party, the Movement for Democratic Change (MDC).

The MoU, signed on 21 July, has been designed to introduce formal talks towards a power-sharing government.

Click here to read The Guardian’s feature about Zimbabwe’s economy.