CARACAS, May 29 (Xinhua) -- Venezuela will postpone the introduction of new banknotes after the national banking association (ABV) on Tuesday recommended the government put off the measure for at least three months.
According to a previous plan, the new bills, which lop off three zeroes from the present currency known as the bolivar, were to enter into circulation starting June 4.
"We are very responsibly requesting that the currency redenomination be postponed at least 90 days to make the necessary adjustments so the move can be a success," said the ABV President Aristides Maza.
During his meeting with President Nicolas Maduro, his economic team and central bank representatives, Maza said the old and new banknotes "can coexist for a certain period of time so that there is no stress on the means of payment."
There was a successful precedent in 2008, he said.
Following the meeting, Ramon Lobo, the president of Venezuela's Central Bank, said via Twitter that the government will soon "announce the rescheduling of the launch of the currency redenomination."
He did not specify when the new banknotes would be circulating as the government leaned towards a shorter two-month delay.
Venezuela's economy has suffered from shortages, hoarding and price gouging as part of the power struggle between the socialist government and conservative opposition, which has led to rampant inflation.
In late March, Maduro proposed the change to the currency as part of a series of measures designed to improve economic performance.
