Mnangagwa hints on Zimdollar return

PRESIDENT Emmerson Mnangagwa on Saturday hinted on plans to reintroduce the Zimbabwe dollar to curb the current cash shortages.

By NQOBANI NDLOVU

Addressing a Zanu PF campaign rally in Bulawayo, Mnangagwa said the grinding cash crisis could only be resolved by introducing a domestic currency.

“Next issue is the question of cash availability in our banks. Our Zimbabwe dollar collapsed in 2008 and 2009. We then adopted a basket of currencies − the South African rand, the United States dollar, the British pound, the Euro and so on,” Mnangagwa said.

“Initially, the US dollar and the rand accounted for 40% each and the other 20% was the balance of other currencies. As time went on, the US dollar became dominant. The US dollar today takes about 90% of our transactional activity in the economy. We have no control over the US dollar, it is time that we must adopt our way of restoring the dignity of our country by creating our own currency,” he added.

The Zimbabwe dollar was dumped in 2009 after years of hyper-inflation, paving way for the multi-currency system supported by the country’s own surrogate currency – bond note − which has also become scarce on the market.

The reintroduction of the Zimbabwe dollar has remained an emotive issue among citizens who experienced the hyperinflationary environment that peaked in 2008 when the largest – and only usable – banknote was Z$10 trillion.

Bond notes were introduced in November 2016 to ease an acute cash shortage and are backed by a $200 million African Export Import Bank facility.

The surrogate currency has, however, failed to address the bank note shortage.

13 Comments

  1. lson Chamisa

    @nelsonchamisa
    Jun 23
    More
    Zanu PF is unable to create pictures to accompany its army of ghost voters; creating a fake name is easy but a picture is hard. That’s why ZEC is refusing with the pictures. Our analysts would identify when a picture from Harare is used for virtual polling station in Muzarabani.

  2. bring it back soon please we are tired of these foreign currencies and some half educated people who postulate silly theories about reintroduction of zim currency and its future stability

  3. ED… the Zim dollar isnt n issue now..may be latter.. major on jobs,industry,FDI et, the the Zim dollar will come on its on…. grow economy first

  4. as Zimbabwe is open for Bussiness we need our own currency… thank you Mr President

  5. Ryt the currency idea is swell my guy we need our own means of trade ……. Zimis open for business

  6. Atleast if we get our own currency toitawo relevance mukurarama

  7. ED seriously needs to go for a quick course of ‘Economics for Dummies’.This guy has absolutely no clue whats going on

  8. viruss vigoroso

    fact still stands. ED CHIBABA

  9. SURELY, WE NEED OUR OWN CURRENCY BACK

  10. exetended dambudziko

  11. Baboons will always remain and think like baboons. Zanu pf people,you have dismally failed us please.You will never ever change the fortunes of zimbabwe yet you have totally destroyed it.Forget about industrial revolution and economic emancipation,it is just a day light dream from a part of evil doers.

  12. Zanus ,who do you think,ED and Mugabe is better from your own foolish point of view?

  13. Clamouring for Zim dollar which we ditched because of the hyper-inflation. It is useless because it will eb like the current bond coins which are only usable internally, meaning to say all who need to import will still need to buy foreign currency not from the bank but the black market and that will quickly lead us back to 2008. If right now we have currency traders in the streets and nothing is being done yet in the banks they say there is no money; what more when the so called local currency is introduced and crossborders have to buy Rand from the black market? People locally and internationally have lost confidence with our local currency, thus a lot more action need to be done to grow the economy etc than introducing local currency which will address cash shortages for 2 days then the ques return. ED must act on the cash problem now, not telling us he will do so when voted into office; hell no!

Leave a Reply

Your email address will not be published. Required fields are marked *