New ZiG banknotes to roll out as economists cite stability gains

The introduction of new Zimbabwe Gold (ZiG) banknotes set to begin circulation on April 7 is expected to strengthen confidence in the local currency and reinforce recent macroeconomic stability gains.

The Reserve Bank of Zimbabwe (RBZ), led by Governor John Mushayavanhu, announced that the new notes will circulate alongside existing denominations, marking another step in the country's ongoing currency reform programme.

"We have the ZiG10 and ZiG20 notes in the system… we will introduce new notes and they will circulate side by side," Mushayavanhu said, adding that higher denominations such as ZiG50, ZiG100 and ZiG200 will be introduced progressively based on demand.

The central bank said the rollout is designed to be non-inflationary, with commercial banks exchanging electronic balances for physical cash without increasing reserve money.

Economists say the move reflects improving confidence in the currency regime, supported by tight monetary policy, stable inflation and growing foreign exchange reserves.

Economic analyst Titus Mukove said the new notes are expected to "consolidate the ZiG's position," noting that current stability is underpinned by single-digit inflation and convergence between official and parallel exchange rates.

Monetary Policy Committee member Persistence Gwanyanya added that the timing of the rollout reflects "pronounced macroeconomic stability" and growing market acceptance of the currency.

He said disciplined control of money supply growth - kept below one percent per month - and improved foreign reserves, estimated at around US$1,2 billion, have strengthened the currency framework.

The RBZ also emphasised that the introduction of upgraded notes addresses durability and usability concerns, while improving transactional efficiency in the economy.

Analysts further noted that the transition is being carefully managed through pre-launch communication and a gradual introduction strategy to build public confidence and avoid market disruption.

The developments come amid ongoing global economic uncertainty, including geopolitical tensions affecting international markets, though authorities say Zimbabwe's monetary system remains insulated due to tighter domestic policy controls.

With the new notes, the RBZ says it is aiming not only to improve cash usability but also to reinforce the credibility and long-term stability of the ZiG currency system.