Mangudya digs in on bond notes

Reserve Bank of Zimbabwe (RBZ) governor John Mangudya yesterday vowed to forge ahead with plans to introduce bond notes in October despite widespread resentment by citizens and opposition political parties.

In May, Mangudya said bond notes would be introduced as part of measures to stem the prevailing cash shortages under a $200 million facility guaranteed by the African Export-Import Bank.

Under the facility, qualifying exporters would get an additional 5% export incentive in bond notes, which will be at par with the United States dollar.

Mangudya said he would not buckle to populist sentiments as the move was in the best interest of the economy.