New money in November

image
Description

By Kundai Maponga

THE new currency will make its debut in two weeks when the central bank is expected to unveil new bank notes and coins at the rate of 1:1 with the bond notes and RTGS dollar.
Governor of the Reserve bank of Zimbabwe, John Mangudya has said.
Speaking in Harare on the deliberations of the Money Policy Committee (MPC) Mangudya said the injection of the new money will ease the liquidity crisis.
The new currency is expected to wipe out the RTGS dollar and will be called ZWdollar will be used interchangeably with the bond notes and coins which are currently in circulation.
Mangudya said it will come in denominations of $2 and $5 notes while the coins will be in $2 and both of them will be used interchangeably 1:1.
“We are going to have coins of $2 in circulation, $2 and $5 of currency money in circulation. They are going to be used interchangeably as 1:1 and the new currency won’t be called bond notes but they are just called two dollars, five dollars,” Mangudya said.
Through the MPC Mangudya tried to address issues of money supply, inflation, exchange rate and interbank market which are at the center of the economic meltdown.
“The Committee remains convinced that if strict fiscal and monetary discipline are maintained, it will be possible to achieve low inflation and stability within the shortest possible time,” he said.
However, some economic analysts have warned on social media platforms that introduction of new currency will likely trigger high rates of inflation.