View of a food sale on a street in Caracas (EFE/Rayner Peña R/File)

The currency of Venezuela, the bolívar, lost more than 7% of its value against the dollar in the first 10 days of Februaryaccording to information from the Central Bank (BCV), which published this Friday the prices of the various currencies, including that of the United States.

The issuing entity reported that the official rate for the US currency closed the day in 24.20 bolivarswhich represents a 7.89% increase compared to February 1, when it reached 22.43 bolivars.

This has led to a depreciation of the bolivar by 7.31% so far this month against the dollar, one of the currencies most used in commercial transactions in the country, which has been undergoing an unofficial process of dollarization for 4 years. of its economy, one of the main consequences of the hyperinflation that Venezuela experienced between 2017 and 2021.

Meanwhile, in the parallel marketServing as a reference in currency purchase and sale transactions outside approved establishments, The price of the dollar reached 24.72 bolivars this Fridayan increase of 6% compared to the 23.30 bolivars of February 1.

a man proposes "daughter"a fermented drink typical of the region, on sale next to a sign indicating the different prices in US dollars and bolivars depending on the size of the cups, in Caracas (REUTERS/Leonardo Fernández Viloria/File photo)
A man offers ‘chicha’, a fermented drink typical of the region, for sale next to a sign showing the different prices in US dollars and bolivars depending on the size of the cups, in Caracas (REUTERS/Leonardo Fernández Viloria/ Photo by archive )

The increase in the exchange rate has a direct impact on goods and services, the prices of which are fixed, in most cases, in dollars.

Inflation in January was 39.4%2.2 percentage points more than in December, according to the Venezuelan Observatory of Finance (OVF), an independent entity outside the Central Bank, a figure which suggests that “the Venezuelan economy has entered a phase of sharp acceleration of “price increases” as an expression of the observed macroeconomic instability”.

This instability, he continued, is due to the fact that “the government could not continue to maintain the stability of the exchange rate which it applied until last August”.

(With information from EFE)

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