Zimbabwe introduces new gold-backed currency to tackle inflation
Al Jazeera
Zimbabweans have 21 days to convert their old cash into new money, according to the central bank.
Zimbabwe’s central bank has launched a new “structured currency” backed by gold, as it seeks to tackle sky-high inflation and stabilise the country’s long-floundering economy.
The new currency – called Zim Gold (ZiG) – will be backed by foreign currencies, gold and precious minerals, John Mushayavanhu, the governor of Zimbabwe’s Reserve Bank, told reporters in the capital Harare on Friday.
Mushayavanhu said the ZiG would circulate alongside a basket of other currencies.
He said the central bank would also introduce a market-determined exchange rate.
“With effect from today … banks shall convert the current Zimbabwe dollar balances into the new currency,” he said.
