'Zimbabwe should rebrand currency,' says Analyst

Economic analyst and chartered accountant, Tapiwa Chizana said the Zimdollar should not return in its previous format, but that the country should have a new currency.

"There is a stigma associated with the Zimdollar, so a new currency will need to be appropriately rebranded to inspire confidence in the economy and market," he said.

Chizana said a local currency with the correct characteristics would be required for more long-term growth and development.

But he warned that the introduction of a local currency in itself was not the solution.

Chizana said the economic policy related to the management of the currency was what is most important.

"I am hesitant to say the introduction of the currency will solve all our problems. The first step is to develop an acceptable monetary framework within which such a currency will circulate," he said.

Chizana proposed a "mineral based" frame work.

"Thereafter, introducing the currency will have positive benefits to the country, and will stimulate the revival of the economy. There will need to be monetary mechanisms to encourage the circulation of the currency because that is what stimulates economic growth, ultimately," he said.

Chizana said if for some reason, the currency is not globally accepted, its use locally would encourage the purchase of locally-produced and locally-available goods and services.

"Thus, for any given level of economic activity, more of the benefit accrues to the country and less drains out to other parts of the world," he said.