US Dollar to Vanish by 2030: Mnangagwa’s Risky Currency Gamble – ZimEye

The Mnangagwa regime is once again playing with fire, this time by announcing a bold – some would say reckless – plan to phase out the US dollar by 2030 in favour of the untested Zimbabwe Gold (ZiG) According to the Reserve Bank of Zimbabwe (RBZ), the country will transition from the current multi-currency system to a domestic mono-currency “in an orderly manner.” The move will be anchored in the upcoming National Development Strategy 2 (NDS2), replacing the already underwhelming NDS1 RBZ Governor John Mushayavanhu insists the plan will “preserve foreign currency accounts and respect existing USD-denominated contracts,” but Zimbabweans have heard these promises before The memory of 2008’s hyperinflation and the government’s sudden seizure of US dollar bank balances in 2019 remains fresh While officials boast of “stability” since ZiG replaced the collapsing Zimbabwe dollar in April 2024, sceptics point out that ZiG still accounts for only a fraction of the money in circulation The overwhelming majority of transactions – especially in critical imports like fuel and medicines – are still priced in US dollars Industry leaders and economists have raised alarm bells… Foreign-currency depositors are particularly uneasy, with the RBZ’s own Mid-Term Review admitting that “stakeholders relayed concerns” about the fate of their savings post-2030 The absence of legally binding guarantees has only heightened suspicion that the government might be setting the stage for another raid on hard currency deposits Source: Zimeye All Zim News is a central hub for all things Zimbabwean, curating news from across the country so no story is missed Alongside aggregation, our team of nationwide reporters provides real-time, on-the-ground coverage Stay informed and connected — reach us at admin@allzimnews.com. Source: Zimeye