Argentina has introduced a new banknote, the 10,000 peso bill, which is five times larger than the previous highest denomination.

Despite its size, the bill is only worth around $10 due to the country’s staggering inflation rate, nearing 300%.

Issued by the central bank, the new note features images of independence icons Manuel Belgrano and Maria Remedios del Valle.

The introduction of this larger denomination, along with plans for a 20,000 peso bill later in the year, aims to streamline transactions, simplify financial operations, and reduce costs.

Argentina’s persistent triple-digit inflation and devaluing currency have eroded the value of its money over time, leading to a reliance on carrying large amounts of cash for everyday expenses.

The current 2,000 peso bill is worth just over $2 at the official exchange rate, making it less valuable compared to currencies in neighboring countries, Reuters reported.

President Javier Milei, who assumed office in December, is implementing austerity measures to address the economic crisis inherited from previous administrations.

While these measures have curbed monthly price increases, annual inflation remains high, prompting the central bank to slash interest rates.

Written by B.C. Begley