Harare, Zimbabwe’s foreign currency reserve-building agenda is gathering momentum, with gold export receipts for the period January to July surpassing US$1.5 billion, a performance that reinforces the central bank’s strategy to back the domestic currency, the Zimbabwe Gold (ZiG), with solid reserves.
Introduced in April last year, the ZiG has been supported by a policy framework in which gold exporters retain 70 percent of their foreign currency earnings while selling 30 percent to the Reserve Bank of Zimbabwe (RBZ). This mechanism, coupled with favourable global commodity prices, has positioned gold at the heart of efforts to stabilise the domestic currency and restore confidence in monetary policy.
The figures mark a strong performance compared to last year’s US$1.3 billion during the same period, with government optimistic about achieving over US$3 billion in receipts by year-end. “The period of January to July 2025 has been characterised by exciting times where gold prices on the international arena are on an upward trajectory as many investors are taking gold as a safe haven,” said Mr Pfungwa Kunaka, Permanent Secretary in the Ministry of Mines and Mining Development. “This has created viable prices and good returns back home, leading to maximisation of profits for both small and large-scale miners. Fidelity Gold Refinery’s ability to pay miners on time at viable prices has also boosted deliveries and formalisation.”
Mr Kunaka noted that the momentum in receipts will directly strengthen the RBZ’s reserve base, in turn reinforcing the ZiG and promoting monetary stability.
Yet as production rises, stakeholders are stressing that sustainability must not be overlooked. Speaking at an Environment, Social and Governance (ESG) Conference in Harare this Thursday, Green Building Council of Zimbabwe Head of Secretariat, Mrs Clara Mapokotera, underscored the importance of environmentally responsible mining. “Sustainable mining practices are the hallmark of the gold industry’s viability. This means the sector must ensure no footprints that harm future generations. At the same time, sound corporate governance and reinvestment of profits in mining communities are crucial for continuity,” she said.
Gold remains Zimbabwe’s top foreign currency earner, a position that is not only stabilising the currency but also providing a platform for broader economic recovery. The challenge, analysts note, will be balancing the drive for higher output with responsible practices that safeguard both the economy and the environment.
