Zim hyperinflation not so special

Official inflation in Zimbabwe now stands at over 100,000%.  Jokes around Zim’s official stats aside, this isn’t even real hyperinflation by historical standards. Germany, in 1922, in the aftermath of Word War I and the Treaty of Versailles experienced inflation of over 200 billion percent.

Goes to show how short our memories are (as a society, not me specifically) and how far from ordinary economic conditions are possible. This example is only about current remarkable events being unremarkable by past standards. Let’s just wait to see what hte next record-breaking special scenario is.

Published by David Kirk

The opinions expressed on this site are those of the author and other commenters and are not necessarily those of his employer or any other organisation. David Kirk runs Milliman’s actuarial consulting practice in Africa. He is an actuary and is the creator of New Business Margin on Revenue. He specialises in risk and capital management, regulatory change and insurance strategy . He also has extensive experience in embedded value reporting, insurance-related IFRS and share option valuation.