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Zimbabwe’s Minister of Finance and Investment Promotions, Professor Mthuli Ncube, has urged citizens to be patient with the recently introduced Zimbabwe Gold (ZiG) currency, amid an uproar from the public over the disruptions it has caused to transactions.
The Reserve Bank of Zimbabwe (RBZ) on Friday last week unveiled the ZIG, replacing itas predecessor, the Zimbabwean Dollar (ZWL) which had been battered by inflation, resulting in spiralling prices of basic commodities.
Launching the ZiG last week, the new RBZ Governor, Dr John Musahavanhu said the new currency was backed by gold and foreign currency reserves, as well as a basket of other minerals. Governor Mushayavanhu stated that the new currency is backed by 2.6tonnes of gold as well as 100M United States Dollars.
Whilst addressing legislators in Parliament on Wednesday this week, Finance Minister Mthuli Ncube pleaded with the public to be patient with the authorities as the roll out of the new currency takes effect.
“Again, if you could be patient and bear with the Reserve Bank, they have really done their best,” Ncube said.
“It is not surprising that maybe one or two things did not happen as anticipated, and on time. It is just a complex issue, but I think that the public will understand.
“You have to print new money; you have to make sure the gold in our case is in place, the diamond is in place. There are just so many variables and I hope you will understand.”
Ncube pleaded with Zimbabweans to have confidence in the ZiG.
“As the government, we would want this to be acceptable, that citizens have confidence and you can only build that confidence if you communicate and explain how it works in simple language,” he added.
“We believe that educating the public about the design of the currency and how it has been put together will give them that level of confidence.
“I would like to urge members of the public to have confidence in ZiG and use it all the time. It is everyone’s currency, and we should be proud of it. After all, a country derives pride from its currency.”
Zimbabweans have been shut out of electronic banking platforms as some service providers struggled to complete reconfiguring their systems to ZiG.
RBZ chief John Mushayavanhu said this week that over 90% of the banking institutions and mobile bank service providers had successfully configured their systems and processes to ZiG from ZWL$, with banking services now being accessible for the convenience of the transacting public.
Some traders are also refusing to accept the Zimdollar notes despite authorities saying the local unit remains legal tender until April 30 when ZiG notes and coins will be released to the market.
Ncube, however, warned of a blitz against those rejecting the Zimdollar, which will be in circulation until the ZiG comes into circulation on April 30.
“We are going to send out our law enforcement agency to make sure that these vendors are dealt with,” he said.
“It is illegal. Therefore, if it is illegal, then the law must take its course. I am also urging our law enforcement agency to move with speed to deal with this matter, we cannot allow it.”
Source Newsday
