ZiG hits Harare streets
The Reserve Bank of Zimbabwe (RBZ) began circulating the new Zimbabwe Gold (ZiG) banknotes this Tuesday, with individuals permitted to withdraw only ZiG3,000 per week and companies ZiG30,000 per week.
Patricia Rwafa
On April 5th, the new RBZ governor, John Mushayavanhu, launched the ZiG currency, backed by reserves of US dollars and precious metals, particularly gold, aiming to replace the Zimbabwe dollar, which had been decimated by relentless inflation.
RBZ Governor John Mushayavanhu stated that all necessary information about money distribution and withdrawal limits has been relayed to commercial banks.
In an update on April 29th, Dr. John Mushayavanhu, RBZ Governor, confirmed that authorities had finalized distribution systems by the end of business.
“We will see the new notes and coins effective this Tuesday. All modalities are complete, and Zimbabweans can begin using the currency tomorrow morning (Tuesday), depending on each bank’s logistics.
“There is a need for Zimbabweans to use ZiG. I urge the nation to adopt a currency preservation system for ease and convenience in Zimbabwe. Confidence is crucial, and as the central bank, we guarantee confidence in the economy,” said Dr. Mushayavanhu.
Zimbabweans started withdrawing cash and coins from their bank accounts today.
Schools, hospitals, clinics, and local governments can withdraw up to ZiG 250,000 each month, while government ministries have a higher limit of ZiG 300,000. Notably, there are no restrictions on cash withdrawals for parliament, courts, and international organizations.
Customers with a valid need to withdraw cash above the stipulated limit are expected to apply for permission from the RBZ’s Financial Intelligence Unit, which recently launched a crackdown on money changers in conjunction with the police.