Suriname Devalues Currency By 16.4%

Suriname’s central bank has devalued its local currency by 16.4%.

Suriname’s central bank has devalued its local currency by 16.4%, Reuters reports. The bank has devalued the official exchange rate to 3.35 Suriname dollars to the U.S. dollar from the previous rate of 2.80 Suriname dollars.

The devaluation is effective Jan. 20, 2011. The South American nation’s government has also posted 50% tax increase on alcohol and tobacco and a 2% sales tax hike as well as tax increase on gasoline and basic services.

Click here for the story from Reuters.