Government Urges Swift Adoption of The New ZiG Currency

Minister of Finance, Economic Development, and Investment Promotion Prof. Mthuli Ncube
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HARARE – Zimbabwe’s economy, the Ministry of Finance, Economic Development, and Investment Promotion has officially announced the transition from the Zimbabwean Dollar (ZWL) to the newly introduced Zimbabwe Gold (ZiG) currency.

This announcement follows the recent release of the 2024 Monetary Policy Statement by the Governor of the Reserve Bank of Zimbabwe (RBZ) on April 5, 2024.

According to Statutory Instrument 60 of 2024, Presidential Powers (Temporary Measures), the legal framework for the operationalization of ZiG has been established, enabling immediate action by the government and financial institutions to implement the transition.

Minister of Finance, Economic Development, and Investment Promotion, Mthuli Ncube, emphasized the necessity for all Ministries, Departments, Agencies (MDAs), and the private sector to recognize and accept ZiG as the official currency for all financial transactions and payments for goods and services effective immediately.

“The introduction of ZiG, a gold-backed currency, is a crucial step towards stabilizing the economy, restoring confidence in the financial system, and fostering a conducive business environment,” stated Minister Ncube.

To ensure the stability of ZiG, the government has implemented a liberalized foreign exchange market, where the exchange rate is determined by market forces based on supply and demand dynamics. This move is supported by robust gold and foreign exchange reserves at the RBZ, ensuring the fulfillment of legitimate foreign exchange requests made through the banking system.

Acknowledging the importance of an orderly transition, Minister Ncube highlighted the need for all stakeholders, including MDAs, the private sector, retailers, and service providers, to swiftly adopt ZiG in all financial transactions, including salary payments and procurement processes.

Additionally, the Minister underscored that all collections by government and the private sector should be made in ZiG or any currency within the multi-currency basket, without bias towards any specific currency or indexing invoices to the US Dollar.

In a call for media support, Minister Ncube urged the media fraternity to play a pivotal role in publicizing the new currency, thereby facilitating its acceptance and adoption across the market.

The government’s proactive measures and decisive actions aim to foster economic stability and create an environment conducive to sustainable growth and development in Zimbabwe.