The government of Azerbaijan has announced a currency redenomination: one new Manat will equal 5,000 current Manats. New banknotes will replace current notes in 2006.

5000:1 seems a peculiar choice. Typically in a redenomination the ratio is a simple power of ten: 1 new = 100 or 1000 or 10,000 old units. Converting pricetags then requires merely lopping off zeroes. With 1 new = 5000 old, sellers must lop off three zeros and then divide by 5, or lop of four zeros and then multiply by 2. Why impose the extra hassle?

Was the government deadlocked between ministers who wanted to redenominate at 1000:1 and those who wanted 10,000: 1, and so decided to split the difference? Or (more likely) is it because 5000 current Manats are at the moment worth very close to US$1, and the country is already heavily dollarized?