Venezuela to subtract six zeros from currency, second overhaul in three years

FILE PHOTO: Workers weigh goods in an open-air fruit and vegetable market in Caracas, Venezuela December 22, 2020. Picture taken December 22, 2020. REUTERS/Manaure Quintero/File Photo

CARACAS (Reuters) - Venezuela on Friday will launch its second monetary overhaul in three years by cutting six zeros from the bolivar currency in response to hyperinflation, simplifying accounting but doing little to ease the South American nation's economic crisis.

The plan seeks to simplify accounting at businesses and banks, where systems can no longer handle the huge figures. Venezuela's year-on-year inflation is 1,743%, according to the Venezuelan Finance Observatory. A minimum wage salary is barely $2.50 per month.