Kwekwe wants Chinese yuan

KWEKWE town clerk Emmanuel Musara believes the current liquidity crunch could be solved if government makes the official trading currency the Chinese yuan.


Speaking at a council finance meeting recently, Musara said if the government allowed the Chinese to open a bank in Zimbabwe, cash challenges would disappear, noting that the continued use of the United States dollar was straining the economy.

“The town clerk felt that the liquidity challenges the country was going through might be lessened if the Chinese are allowed to open a bank in the country as their currency is now among the four universally accepted currencies,” part of the minutes from the meeting read.

Chinese yuan

Musara felt that things were better in Zimbabwe when the rand was standing its ground against the US dollar and debtors were paying their bills.

“The country used to have high liquidity when the rand was the preferred currency of trade before the US dollar,” he said.

Kwekwe is facing serious cashflow problems and is struggling to pay its debts, especially with Zesa Holdings and Zimbabwe National Water Authority (Zinwa).
Zesa claims to be owed $10 million by the local authority, while the Zinwa debt is over $1 million.

The finance department said council was owed $28 265 702 by January, up by $367 747 from October last year.

Council now owes $19 358 328 to its service providers after borrowing an additional $250 697 in just three months, a situation Musara believes is being caused by use of the US dollar.

Zimasco, which has since applied to be placed under judicial management, is also one of council’s major debtors, owing $802 568, which they have proposed to pay through barter trade.

The chrome smelting company has so far supplied water treatment chemicals worth $192 000 to council as part of the bill settlement programme.

20 Responses to Kwekwe wants Chinese yuan

  1. Sagitarr February 5, 2016 at 7:51 am #

    Very silly logic. 1Yuan Renminbi = $0.15. If we convert the Kwekwe Council figures using this rate how will it be an advantage? The real problem is that the councils and govt are stuffed with people who have poor, little or no financial and administration skills and experience. It doesn’t matter what currency is used, ineptitude can never make an organisation prosper or run its affairs well.

    • jj sabhuku February 5, 2016 at 12:13 pm #

      Very sorry ? pple of kwekwe (need yuan)

  2. Born Free February 5, 2016 at 7:52 am #

    It doesnt matter what currency you use. If people are unemployed, have no money or means to production, when pple are being fired everyday, when the govt cant even pay its employees….pple will still have no money to pay their utility whatever currency you use. Even if it were zimdollar. The conomy is simply not producing enough to carry pple in emplyment both by wage and taxation which has a multiplier effect.

  3. Ahmadinejad Mousavi February 5, 2016 at 8:00 am #

    The town clerk reasoning is quite baffling as yuan (RMB) can only flow into Zim on account of the country being productive and exporting of goods & services in return for receipt of the yuan.In summary, we will face the same fate as we do have a local currency. Mind you, the local currency is quite hazardous than a multiple currency regime. I do not want to remind you of the height of economic tragedy of 2007/2008,wherein the country was awash with liquidity in the form of an ineffectual Zimdollar.

  4. studio77 February 5, 2016 at 8:05 am #

    Town Clerk uyu ane cancer mubrain make chaimo. At the present moment people can travel wherever they want with their US$ and you want Zimbabweans to be restricted tavekuudzwa kumaBank kuti hakuna maUS$, ndeemashefu chete.

  5. Danai Pazvagozha February 5, 2016 at 8:18 am #

    How does Kwekwe Municipality employ such a thinly knowledgeable Town Clerk? I wonder how the Town Clerk believes that a Chinese currency will increase liquidity in the country, even if the Chinese were to open a bank in Zimbabwe. Is the town clerk so ignorant to the extent that he believes that China will donate money to Zimbabwe if the Yuan is made a legal currency in Zimbabwe? If China does not pour and donate money to Zimbabwe, how then does the use of Chinese currency going to ease the liquidity challenges? Poor town clerk, the issue of lack of liquidity in Zim is not the problem of US dollar, kkkkkkk. How can that be? It is because the country is unable to sell reasonable amounts of exports so that we earn large amounts of money, which will ease liquidity. The use of the Yuan will therefore not help to ease liquidity challenges, as long as we are not able to export reasonable quantities of goods. During the ZIM dollar era, the gvt would print money to increase liquidity, something that the former ignorant G Gono pursued with madman’s enthusiasm, and the inevitable result was the demise of the Zim dollar. I hope the town clerk will speak sense next time he opens his mouth.

  6. antiidiocy February 5, 2016 at 8:20 am #

    Here in Mutare, respectably, Cde. M Chimene and cde. E Mupfumi got rid of such unreasoning town managers. Please, implore your local Ministers and MPs to get rid of those hogs. You do not pick yuans on the ground like manna. You exchange your valuable USDs for the grossly deflated yuan. Youan is not a solution. What is needed is production and trade that brings economic benefit in any exchangeable currency, full stop, vaMusara!

    • cloud February 5, 2016 at 3:09 pm #

      Mupfumi is a thief, He has ruined Mutare and we never wanted him here

  7. Lazy Boy February 5, 2016 at 8:51 am #

    Don’t be baffled by this moronic town clerk whose god-father is Chombo. They have the propensity to steal and he is eyeing an opportunity to profit from money-changing deals between converting from US dollars to Yuans. Selfish minds think like that.

  8. CDE HASHA February 5, 2016 at 9:19 am #

    I can see a prospective money changer in the form of a brainless, ignorant, blunt minded, dump, sleepy, ill focused, confused, misguided town clerk. Why cant he relocate to Guangzhou where there is plenty of yuan and Remnibi ? Otherwise he is not comfortable with the US$. How on earth does mere adoption of another country’s currency solve your liquidity. Lazy town clerk. One day you might call for the change of mealie meal brand in your house and hope to see tones of mealie meal while you are sleeping on your old rotten , termite damaged bed. Lazy indeed. Money does not grow on trees, you work my man. The question for Zimbabwe is multifaceted. Talk of balance or trade as well as low production levels. And recently you are just importing while exports are almost negligible. You have taken over farms but importing food perennially, you have taken over companies but are not producing anything, you have minerals but where are the returns from sales, you have hard working labour force but where are the jobs, you have the anti corruption commission but where are the corrupt locked up at? you are send millions if not billions of US$ to purchase second hand vehicles ne be forward forgetting that you are starving. You the local authorities chase away vendors who have been chased from employment, and still expect their little dollars for rates and other municipal bills? You want to bring the yuan to Zimbabwe by way of charity or what? and you think Chinese are fools who will just print yuans and remnibis to make the Kwekwe town clerk happy? Nothing for mahala my man. You have grown up used to corruption and you think it will continue like that. By the way who appointed this seemingly illiterate and ignorant town clerk. No wonder why our local authorities are in shambles. You dont even have the smallest brains to think.

  9. sharp February 5, 2016 at 9:21 am #

    Sad thinking, good try though, I bit of economics might do for our Leaders. Stepping out of this topic a little, did you know that the Zim politicians have more cash locked in trucks in their houses than deposit it in the bank? They don’t know that cash has to circulate to avoid cash flow problems like what this clerk is experiencing. As a result banks can’t invest what’s deposited and hence the practice of ripping off those who get paid through the banks by charging all sorts of fees. If our leaders don’t adhere to the principles of economics, what ever currency they adapt, it will only shrink, if China gives them a yuan, they will be expecting a profit from it, it’s not free.

  10. kitsi February 5, 2016 at 9:57 am #

    Some want Chinese Yuan, others want US$, some want S. African Rand but all of them are Zimbabweans!! None of them is talking about their own currency!! Ladies and gentleman nyika iyi ndeyani chaizvo and where is it going if we are not even working for our own currency.
    And yet someone talks about sovereignty!!

  11. Predator February 5, 2016 at 11:19 am #

    Apa hapana zvinozivikananwa.

  12. Harare February 5, 2016 at 11:24 am #

    Are the chinese also going to give us the right to print the Yen as well , becoz if they dont then how are we going to solve the problems

  13. garikayi February 5, 2016 at 11:55 am #

    This Kwe Kwe Mayor is an idiot….how does he preside over a town or city like KK if he does not understand fundamentals of economics??? Silly…KK residents kick the f%$#ng idiot out. The Chinese workd very hard for their prosperity, they will never ever give away wealth on a silver platter, Your godfathers in ZANU destroyed Kwe Kwe and now you stand up and talk nonsense like this.A bank is not just a stack of bricks silly dude.

  14. Mafirakureva kd February 5, 2016 at 12:14 pm #

    umbosiyai dofo ritaurewo. He have failed to run the council so he thinks the Chinese currency will save him. Zvino mhosva yeudofo unoiripa kusvika wafa. Hezvoka wakutoiripa, wofa nekutukwa

  15. jj sabhuku February 5, 2016 at 12:20 pm #

    Kwekwe mayor an idiot doesn’t understand economic chase him away COMRADES

  16. Jail.4.Jogi February 5, 2016 at 12:41 pm #

    Another Zanu pf idiot thinks that he is an economist ! ! ! ! !

  17. Predator February 5, 2016 at 1:10 pm #

    kana economy yakadhakwa kuchishandiswa strong currency kwakuti ngatichishandisa weakest currency kuti zvifaye.Town clerk zvenyu zvinotosekesa mbavha yakahwanda.

  18. truthsayer February 5, 2016 at 3:00 pm #

    mr town clerk u are not Kwekwe and Kwekwe is not u.dont hide behind e finger and address the real issues affecting the city and leave monetary issues to those well knowledgeable.lead by example and get yo next salary in yuan alco give up yo benefits such as free council water.

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