The government of Zimbabwe has embraced the new currency, Zimbabwe Gold (ZiG), with enthusiasm.
Government departments have received directives to incorporate the new currency into all their transactions, except those specifically designated for payment in other currencies.
A statement issued by the Ministry of Finance and Economic Development encourages government departments and agencies to embrace ZiG. According to the statement by Minister Hon. Mthuli Ncube, “As Government continues to configure its Public Finance Management System (PFMS) to facilitate revenue collection and payment for goods and services in the local currency, all Ministries, Departments, and Agencies (MDAs), and the private sector alike, are hereby advised to accept and recognize ZiG as the official currency for all financial transactions and payment for all goods and services effective immediately.”
Minister Ncube emphasized that ZiG is backed by gold reserves, ensuring sufficient support for the local currency in circulation at any given time.
To instill confidence, the exchange rate has been allowed to fluctuate, determined by market forces. Consequently, pricing of goods and services will be based on the interbank exchange selling rate. The government is preparing a statutory instrument to regulate the exchange rate applicable for transactions, aiming to safeguard the new currency against manipulation.
Minister Ncube stressed the urgent need for both government and the private sector to swiftly transition and adopt the new currency.
To incentivize businesses to use ZiG, the government has proposed allowing portions of taxes to be paid in the local currency.
The media has been urged to promote and support the adoption of the local currency.
