Latest News Editor's Choice

News / National

Only 30% of Zimbabwe Gold (ZiG) released to the market

by Staff reporter
05 Jun 2024 at 02:22hrs | Views
The Reserve Bank of Zimbabwe (RBZ) has disbursed ZiG46 million in notes and coins to banks, but only 30% has been released to the market due to a cash crisis.

Introduced on April 5 to replace the Zimdollar, the ZiG circulation began on April 30.

Deputy Minister David Mnangagwa expressed concerns at the Capital Markets Conference about the low circulation of ZiG despite adequate issuance by RBZ.

RBZ Governor John Mushayavanhu attributed the shortage to breakdowns in the cash transmission system and encouraged individuals and corporates to withdraw coins.

Despite government efforts to promote local currency use, over 85% of transactions are still conducted in US dollars.

Mnangagwa highlighted the challenge of moving notes to the informal sector and urged collaboration to address the issue.

Reports indicate shortages of ZiG notes in various sectors.

The conference aimed to foster sustainable and responsible investing in Zimbabwe's capital markets.

Source - newsday