RBZ Consults Top Academic to Save ZiG26 July 2025
RBZ Consults Top Academic to Save ZiG
By Business Reporter-After years of economic instability and failed currency reforms, the Reserve Bank of Zimbabwe (RBZ) has finally turned to respected economic scholars for practical guidance on how to rescue the struggling ZiG currency.
Among the experts consulted is Professor Gift Mugano, a leading Zimbabwean economist based in South Africa. Professor Mugano has long criticised the government’s unrealistic economic policies, warning that politically driven decisions have repeatedly undermined meaningful reform.
Since 2000, Zimbabwe’s economy has been battered by hyperinflation, policy inconsistencies, and the collapse of key industries. The controversial land reform programme, chronic fiscal deficits, and excessive money printing led to the abandonment of the Zimbabwean dollar in 2009.
Subsequent attempts to reintroduce local currencies, including bond notes and the RTGS dollar, also failed, largely due to low confidence, high inflation, and limited production capacity.
Against this troubled backdrop, the ZiG (Zimbabwe Gold) currency, launched in April last year as a gold-backed instrument, has struggled to stabilise the market. Rapid depreciation and limited public trust have forced the RBZ to explore new strategies.
Professor Mugano confirmed via his X (formerly Twitter) account that he met RBZ Governor Dr John Mushayavanhu and his team earlier this week. “We had productive and constructive discussions on what should be done to make our national currency work!” he posted on 24July, adding that he was impressed by the central bank’s commitment to defending the currency.
Over the years, Mugano has repeatedly argued that currency reforms cannot succeed without broader economic restructuring. He has called for the government to:
His outspoken criticism has often drawn sharp responses from senior government figures, including Presidential spokesperson George Charamba, who has accused Mugano of aligning with the opposition.
Mugano, however, maintains that his views are rooted in professional economic analysis rather than politics.
The RBZ’s engagement with Professor Mugano signals a possible shift toward more inclusive policy dialogue, acknowledging that the success of the ZiG and the broader economy depends on evidence-based strategies rather than politically motivated decisions.
Source: ZimEye
Source: ZimEye
