LOOK: Sierra Leone govt removes extra 'zeros' from banknotes to ‘restore’ confidence in ailing currency

Sierra Leone on Friday introduced a new set of banknotes, removing three zeros off the leone, in a bid to restore confidence in the inflation-hit national currency. State House Sierre Leone.

Sierra Leone on Friday introduced a new set of banknotes, removing three zeros off the leone, in a bid to restore confidence in the inflation-hit national currency. State House Sierre Leone.

Published Jul 4, 2022

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Cape Town - Sierra Leone on Friday introduced a new set of banknotes, removing three zeros off the leone, in a bid to restore confidence in the inflation-hit national currency.

"Prices of all goods and services will be deflated as three zeros will be slashed," Sierra Leone's Central Bank Governor Keifala Murana Kallon said.

The Central Bank of Sierra Leone started a re-denomination of the country's currency, the Leone, with the removal of three zeros from the notes while keeping their value unchanged.

State House Sierra Leone.

According to local reports, the existing currency will continue to be legal tender, concurrently with the re-denominated currency, for a transition period of July 1 to Sept. 30 this year.

Sierra Leone's Central Bank had embarked on public engagement before circulating the new currency bank notes, it said.

Africanews reported that a note of 10 new leones was the equivalent of a note of 10,000 old leones, which changes hands for around 75 US cents..

Year-on-year inflation in the West African state was 24.87 percent in May, according to the national statistics agency.

The question is, is Africa fighting against a Crypto currency onslaught or is removing zeros from a prominent West Africa currency a litmus test for what’s to come in the future for Africa’s currency-woes?