Zimbabwe Central Bank pushes for ZiG cash access

THE Reserve Bank of Zimbabwe (RBZ) has directed all banks to ensure the full roll-out of Zimbabwe Gold (ZiG) cash through automated teller machines (ATMs) by the end of September 2025, amid a significant surge in the currency’s usage since its launch in April 2024 In his 2025 Mid-Term Monetary Policy Statement released last Thursday, RBZ Governor Dr John Mushayavanhu revealed that the use of ZiG has markedly increased, with electronic transactions rising from 26 percent in April 2024 to over 40 percent by June 2025 — a jump of 14 percentage points “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,” said Dr Mushayavanhu Since its launch on April 5 last year, the ZiG’s uptake has been growing steadily despite its value initially experiencing volatility The RBZ is now intensifying efforts to ensure widespread availability and accessibility of the currency in both electronic and physical form “The increase in the usage of ZiG has also been accompanied by an increase in the demand for ZiG cash,” said Dr Mushayavanhu “The Reserve Bank has been ensuring issuance of ZiG in line with optimal requirements in the market In this regard, the Reserve Bank has been working with banking institutions to ensure that at least three percent of their ZiG deposits (regional optimal benchmark for cash-in-circulation against deposits) are held and available for distribution as cash.” To meet rising demand and improve accessibility, the RBZ has issued a directive to commercial banks “To enhance distribution of ZiG cash, the Reserve Bank has directed banking institutions to increase access of ZiG through automated teller machines (ATMs) and banking halls,” he said “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.” At present, banks are holding over ZiG200 million in their vaults ready for distribution to clients “The banking sector is holding in their vaults a total of over ZiG200 million in cash awaiting distribution to banking clients in need,” Dr Mushayavanhu said He also gave an update on the modernisation of ZiG banknotes “As advised in the February 2025 Monetary Policy Statement, the RBZ is working to modernise the current ZiG banknotes,” he said “The Reserve Bank further advises that the re-design and production process of the improved ZiG banknotes is progressing very well and is at an advanced stage The public will be advised of the expected roll-out at the appropriate time.” Stakeholders, during policy consultations, called for the RBZ to take further steps to promote ZiG acceptance and expressed concern over the broader monetary framework “Stakeholders also urged the Reserve Bank to implement additional measures to increase acceptance and uptake of ZiG in the market,” said Dr Mushayavanhu “The need for a clear de-dollarisation roadmap was one of the most prominent issues that came out during the Mid-Term Monetary Policy Review stakeholder consultations.” He added that some stakeholders had expressed unease over the fate of foreign currency deposits and contracts beyond 2030, the year set for the conclusion of the current multi-currency regime “Stakeholders also relayed fears and concerns pertaining to the fate of their foreign currency deposits at the end of the multicurrency system in 2030,” said Dr Mushayavanhu “The de-dollarisation roadmap will be crystallised in the National Development Strategy II and the Reserve Bank, which is chairing the NDS2 Thematic Working Group on Macroeconomic Stability and Financial Deepening (MESFIND), is currently seized with consultations on the issue.” He assured the market that policy changes would prioritise stability and business continuity “The roadmap will undoubtedly encapsulate the need to maintain the current stability, preserve the foreign currency accounts and the existing USD denominated contracts,” Dr Mushayavanhu said “Consideration will always be made to ensure that there is business continuity and certainty.” Commenting on the development, economist Ms Alice Chikonzi said the surge in ZiG usage was a positive signal of growing market confidence and could lay a solid foundation for broader economic reforms “The increase in electronic transactions in ZiG indicates improving public confidence in the local unit, which is essential for building monetary sovereignty,” she said “It also enhances the RBZ’s ability to effectively manage inflation and improve liquidity circulation within the formal economy A widely accepted local currency helps in reducing reliance on foreign currency for domestic transactions, which is key to long-term economic stability.” – Herald Originally published on The Zimbabwe Mail 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: Thezimbabwemail