Zimbabwe: Illegal moneychangers were arrested, last week for fueling the black market where Zimbabwe’s new currency, the ZiG was traded around 20 ZiG for US $1.
Reportedly, Owen Mavengere on the behalf of Institute of Chartered Accountants of Zimbabwe said that the arrest of the moneychangers has caused a situation of panic in the nation.
Mavengere further added that the parallel market and the dealers in the streets are symbolising the problem. He stated, “Sending the police doesn’t inspire confidence. So, we would rather have a situation where we handle the base root cause and approach softly.”
“The Government and the government related services should be the first to move from the dollar currency. Deliberate efforts must be put to ensure that the government starts to take the ZiG seriously,” confirms Owen Mavengere.
The Zimbabwean authorities have responded immediately, seeing the recent decline in the new gold-backed currency by arresting illicit moneychangers and closing the bank accounts of businesses that are accused of exclusively dealing in US Dollars.
The federation of Zimbabwe further declared that the commodities such as fuel and import duties will still be paid with US Dollars.
As per the sources, the Chairman of Industry and Commerce Committee of Parliament – Ngonidzashe Mudekunye stated that he was happy to hear from business owners about the newly introduced currency.
He added to his statement, “We want to get feedback regarding the new policy whether it is working or the industry has any new suggestions that may be helpful.”
The Chairman wants to ensure the smooth work of the new monetary policy and stated, “We all want a stable currency. Everyone is crying for it. We got so many views considering the desire of the market that they want a stable currency.”
Considerably, the Parliament has summoned the boss of central bank – John Mushayavanhu, after he refused to take the blame for the tumbling new gold-backed currency. He confirms that he has consulted the World Bank before introducing it in the nation.
The next stage for ZiG (Zimbabwe Gold) has been set to introduce the physical notes and coins to the public for April 30, 2024.
[Note: The official exchange rate decided by the Zimbabwean government is US $1 equals to 13 ZiG.]