Venezuelan President Nicolas Maduro said that the country will soon introduce a new currency exchange mechanism to replace the DICOM rate, one of several official exchange rates, Reuters reported.
"In a process of perfecting the system of collecting, administering and stabilizing the flow of hard currency in Venezuela, we have decided to activate from next week a new model of DICOM," Maduro reportedly said.
Maduro said that auctions for the Venezuelan bolivar will be held twice a week.
Currently, the bolivar can be exchanged using the DIPRO and the SIMADI exchange rates at 10 and 709 bolivars per U.S. dollar, respectively. The new exchange rate under the alternative currency mechanism was not disclosed.
The DIPRO exchange rate, which was introduced in 2016, failed to strengthen the bolivar.
Critics of Maduro's government have suggested time and again that the country should abolish the socialist model to reel the country out of its economic woes, however the Venezuelan president continues to blame the opposition, the report noted.
As of March 27, US$1 was equivalent to 9.99 Venezuelan bolivars.