RBZ pushes for ZiG cash access via ATMs

Published: 11 August 2025

The Reserve Bank of Zimbabwe (RBZ) has mandated all commercial banks to ensure the full distribution of Zimbabwe Gold (ZiG) cash through automated teller machines (ATMs) by the end of September 2025, as usage of the currency continues to rise significantly.

In his 2025 Mid-Term Monetary Policy Statement released last Thursday, RBZ Governor Dr John Mushayavanhu highlighted a notable increase in ZiG adoption, with electronic transactions rising from 26 percent in April 2024 to over 40 percent by June 2025 - an impressive 14 percentage-point jump.

"The improved macroeconomic stability has seen increased usage of ZiG as reflected by the rise in the proportion of electronic ZiG in the National Payments System from 26 percent in April 2024 to over 40 percent in June 2025," Dr Mushayavanhu said.

Since its launch on April 5, 2024, ZiG has steadily gained traction despite initial volatility in its value. To keep pace with growing demand, the RBZ is intensifying efforts to boost the currency's availability in both physical and electronic forms.

"The increase in the usage of ZiG has also been accompanied by an increase in the demand for ZiG cash," the Governor said.

He explained that the RBZ has been collaborating with banking institutions to ensure that at least three percent of their ZiG deposits - the regional benchmark for cash-in-circulation - are held as cash and ready for distribution.

To enhance accessibility, the central bank has issued a directive requiring banks to expand the availability of ZiG cash via ATMs and banking halls.

"The Reserve Bank will ensure that banking institutions that have not already started distributing ZiG cash through ATMs have done so by the end of September 2025," Dr Mushayavanhu added.

Currently, commercial banks hold over ZiG200 million in vaults awaiting distribution to customers.

Regarding currency design, the RBZ is progressing well with modernising ZiG banknotes, with the redesign and production process at an advanced stage. The public will be informed of the rollout plans in due course.

During policy consultations, stakeholders urged the RBZ to implement further measures to promote ZiG acceptance and expressed concerns about the broader monetary framework, particularly the absence of a clear de-dollarisation roadmap.

"The need for a clear de-dollarisation roadmap was one of the most prominent issues raised during the Mid-Term Monetary Policy Review consultations," Dr Mushayavanhu said.

He also acknowledged stakeholder worries about the fate of foreign currency deposits and contracts beyond 2030 - the targeted end of Zimbabwe's multi-currency system.

"The de-dollarisation roadmap will be crystallised in the National Development Strategy II, and the Reserve Bank, chairing the thematic working group on macroeconomic stability and financial deepening, is engaged in consultations on this," he explained.

Assuring stability, Dr Mushayavanhu said the roadmap will prioritise maintaining current economic stability, protecting foreign currency accounts, and upholding USD-denominated contracts to ensure business continuity.

Economist Alice Chikonzi welcomed the increased use of ZiG as a positive signal of rising market confidence and a vital step towards greater monetary sovereignty.

"The increase in electronic transactions in ZiG indicates improving public confidence in the local unit, which is essential for building monetary sovereignty," she said.

"A widely accepted local currency reduces reliance on foreign currency for domestic trade and strengthens the RBZ's ability to manage inflation and liquidity - all crucial for long-term economic stability."

With the RBZ's directive for banks to fully roll out ZiG cash on ATMs by September, Zimbabwe moves closer to mainstreaming its local currency and fostering a more resilient financial ecosystem.
- The Chronicle

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