A new law that mandates the central bank to choose what firms can trade dollars will allow the Venezuelan government to take control of Bolivar currency exchanges.

President Hugo Chavez signed the bill into law, then said on state television: "I don't mind more regulation if it's needed. Don't provoke me, bourgeois speculators and brokerages," the Merco Press reported on Monday.

Chavez a week ago called for a "strong hand" in dealing with currency speculators, which operate with a parallel market to the Venezuelan central bank if the government does not approve purchases of U. S. dollars.

Merco Press further reported that the Bolivar has fallen 26 percent against the U. S. dollar since the first of the year. Inflation in Venezuela, meanwhile, is galloping at an annual rate of 40 percent. (With inputs from Agencies)