Economy, Currency and Banking

The unit of currency is the new Belarusian ruble (26,500 rubles equal U.S.$1; 1997), introduced in August 1994 and equivalent to ten old rubles. It has been the official national currency since January 1995, when circulation of Russian rubles ceased. In April 1994 Belarus and Russia agreed to the eventual merger of their monetary systems, but Russia has delayed the merger because of the high inflation and other economic problems in Belarus. In early 1998 the Belarusian ruble plunged in value, partly because of the government printing money to lend inefficient state enterprises. The central bank is the National Bank of Belarus in Minsk.