ZiG gains traction in domestic transactions

Published: 2 mins ago

The Zimbabwe Gold (ZiG) currency is gaining momentum in the domestic financial system, now accounting for 40 percent of electronic payment transactions, six months after a strategic push by the Reserve Bank of Zimbabwe (RBZ).

According to RBZ, ZiG's share in the National Payment System rose from 26 percent in April 2024 to over 40 percent in June 2025, signaling both policy success and growing public confidence. Electronic channels include Real Time Gross Settlement (RTGS), bank cards, mobile money, apps, and online platforms.

RBZ Governor Dr John Mushayavanhu highlighted the achievement in his mid-term monetary policy review. "The increased usage of ZiG underscores our dual objective of fostering financial inclusion and de-dollarisation. We continue to ensure the wider availability of ZiG cash through the banking system, complementing digital efforts," he said.

To support cash usage, the central bank has directed banks to maintain at least 3 percent of ZiG deposits in cash reserves, aligned with regional benchmarks. Banks are also required to increase ZiG availability through ATMs and banking halls, with full compliance expected by September 2025.

Payment system expert Rudo Mutetwa praised the initiative. "Ensuring ample ZiG cash in ATMs and branches removes a key barrier to adoption, especially for rural communities where digital literacy lags. This holistic strategy strengthens public trust in the local unit," she said.

Despite digital gains, cash remains critical. A recent survey revealed that 60 percent of small businesses still prefer cash for daily transactions. Governor Mushayavanhu emphasised, "Our approach is not to supplant cash but to balance digital innovation with cash availability, catering to all segments of society."

The increased usage of ZiG is restoring confidence among citizens and entrepreneurs. "As a business owner, I have started accepting ZiG payments because it is showing signs of stability. Unlike before, I can now plan short-term operations, like restocking and paying suppliers, without worrying about sudden value loss," said one local entrepreneur.
- The Herald

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