Instant millionaire


Most Central Asia countries have reasonable control on their currencies, and their money can be exchanged freely at least in neighboring countries.

Uzbekistan is the exception. Although one of the richer states due to oil revenues, its “president” has opted to use Soviet-style controls to prevent currency from leaving the country. Travelers must declare all currencies when entering and leaving, and trouble awaits anyone trying to leave with more than they brought in.

The result is inflation and a rampant black market. Everyone from policemen to hotel clerks will eagerly change dollars at the street rate of 2200 Uzbek som, almost 40% higher than the banks. Everyone eagerly accepts US dollars as a parallel currency.

In its wisdom, the Uzbek government has refused to print bills larger than 1000 som, about 40 cents in US currency. A cup of tea costs more than that, and people routinely carry big blocks of bills for significant purchases. (Credit cards are rarely accepted, and charges would be converted at the bad official rate.)

In order to buy airplane tickets, I had a trusted hotel clerk change $360 into local currency. I got back a stack of almost a million Uzbek som, carefully counted and stacked. The clerk at the airport counted them again with a machine and added them to a large stack that represented the day’s sales.

Leave a Reply