ED hints at new currency as he admits ZWL deprecia...

ED hints at new currency as he admits ZWL depreciation crisis

Zim Now Writer

President Emmerson Mnangagwa has hinted at the introduction of yet another Zimbabwean currency after the local dollar has failed, again.

“We shall soon be announcing the introduction of our structured currency,” President Mnangagwa said today during his first cabinet meeting of the year.

He said government is working on creating a conducive economic operating environment and creating a stable currency after the local dollar lost over 40% of its value in less than 40 days of 2024.

“Prudent fiscal and monetary policies and the promotion of a conducive business environment remain critically important for the stability and growth of our economy. Accordingly, the fiscal and monetary authorities are implementing a raft of policy measures to arrest price increases, stabilise the foreign exchange rate, maintain the value of our currency, and ultimately encourage savings,” said President Mnangagwa.

The Mnangagwa administration has repeatedly tried and failed to control the local currency’s depreciation against the greenback.

Some of the measures have included introduction of gold backed tokens as well as an attempt to close loopholes exploited by shady businesses overcharging government and then offloading their excess local currency liquidity on the black market.

IMF experts and others have advised fiscal tightening and allowing free market value positioning for the local currency to starve the black market.