RBZ refutes Zim Dollar return

Published: 09 December 2013

ACTING Reserve Bank Governor, Dr Charity Dhliwayo has dismissed rumours that the Zimbabwe dollar might return to circulation soon.

Speculation has been rife that with the recapitalisation of the central bank, the currency would return.

However, in a statement, Dr Dhliwayo said the rumours were baseless.

"The Reserve Bank has noted with concern that some people continue to spread unsubstantiated claims on the imminent return of the Zimbabwean dollar. As Monetary Authorities, the Reserve Bank confirms the pronouncements made by the Honourable Minister of Finance and Economic Development (Patrick Chinamasa) on several occasions regarding the continued use of the multicurrency system.

"At the Pre-Budget Seminar in Victoria Falls in November 2013, the Honourable Minister categorically stated the Government's position that the multi-currency system will remain for at least five years. The Honourable Minister indicated that Government programmes over that period will be predicated on the multi-currency system," said Dr Dhliwayo.

She dismissed Press reports suggesting that Fidelity Printers and Refiners, a subsidiary of the Reserve Bank, is putting in place measures in preparation for the resumption of the printing of the local currency.

"The Reserve Bank wishes to unequivocally put it on record that such reports have no basis whatsoever. As Monetary Authorities, we wish to assure the business community and members of the public that there are no plans to reintroduce the Zimbabwean dollar in the near future," she said.

Dr Dhliwayo urged members of the public to conduct their business normally and refuse to be swayed by the "falsehoods."

The Zimbabwe dollar was shelved in February 2009 following unprecedented levels of inflation.

The then Reserve Bank Governor Dr Gideon Gono fought a losing battle to keep it in circulation.

Inflation that surpassed six digits made the currency virtually worthless.

Dr Gono removed zeros from the dollar a number of times but they kept popping back.

Dr Dhliwayo assumed office at the beginning of this month after Dr Gono's second five year term expired. She will act in the capacity until the end of February, when Dr K Mlambo, an RBZ deputy Governor will act for three months, If President Mugabe would not have chosen a successor for Dr Gono.
- businessdaily