VP Mujuru suggests Zim use Chinese currency

KWEKWE – Mbizo Constituency MP, Corban Madzivanyika is giving the newly introduced Zimbabwe Gold (ZiG) currency no chance of success because the issues that led to the collapse of previous currencies have not been addressed.

HARARE - Confusion and frustration grips Zimbabwe as businesses reject the old currency following the Reserve Bank of Zimbabwe's announcement of a new national currency, the ZiG. The new RBZ governor John Mushayavanhu introduced the ZiG last week, saying the new notes and coins would be available on April 30th. This has, however, left people confused and frustrated as some businesses are refusing to accept the old currency, the Zimbabwean dollar (ZWL).

President Emmerson Mnangagwa has appointed top-ranked banker, John Mushayavanhu, as the new governor of the central bank, almost a month before the end of John Mangudya’s term of office.

By Eddie Cross Last week I wrote 2000 words on why it was not in our national interest to continue with the use of foreign currencies for domestic settlement. I thought the case was strong but I was surprised when our President took up the issue at a major meeting and stated quite clearly that we were going back to use of our own currency. I pointed out that when we managed our monetary affairs properly, the US dollar was always worth less than our own currency. I further pointed out that all the countries in our region had done this successfully. What the President said was that no country had been able to develop its own economy without using its own currency. I happen to agree. The question is how to affect the transition from what we have now and what has to prevail once the deed is done? That is neither easy nor uncomplicated.

Zimbabwe's looming alliance with BRICS, a grouping of the world economies of Brazil, Russia, India, China, and South Africa, is likely to lead the country towards de-dollarisation, something that would be a disaster according to former Finance Minister Tendai Biti.