Venezuela's Central Bank Admits Inflation is Now in Triple Digits

Venezuela's central bank announced on Friday that the economy contracted by 7.1 percent during the quarter that ended in September 2015, and price inflation reached 141.5 percent.

This is the first time the bank has publicly admitted that inflation is in triple digits.

In its press release, the bank officials blame the black market rate of the Bolivar and other participants in an "economic war" for the soaring inflation rate---instead of the true culprit, extreme central bank money printing.

Steve Hanke believes the inflation is currently at 382%:

.@DolarToday uses my calculations to find #Venezuela's annual implied inflation rate. It is currently at 382%. #TCP pic.twitter.com/kZbm6uxcmX

— Prof. Steve Hanke (@steve_hanke) January 11, 2016

But such inflation shouldn't be a big deal in Venezuela, the country's newly-appointed economic czar, Luis Salas, has written that "inflation doesn't exist in real life."

  -RW