Zimbabwe’s New Currency Faces Scarcity and Lack of Confidence
The Zimbabwe Gold (ZiG) currency, introduced by the central bank on April 5, 2024, is facing a severe crisis of scarcity and lack of confidence. The opposition party, Labour Economists and Afrikan Democrats (LEAD), has flagged the issue, saying the non-availability of the ZiG is inconveniencing the public and further impoverishing the masses.
According to LEAD’s national secretary for information and publicity, Sarathiel Samkange, the majority of Zimbabweans have never seen the new currency, let alone used it. In rural areas, the ZiG is as good as a foreign currency, and the scarcity of ZiG coins has led to the South African Rand becoming the preferred currency.
The situation is dire, with people in rural areas relying solely on the Rand and US dollars for transactions. The ZiG has failed to penetrate rural areas, making it impossible to convince local businesses, such as traditional beer brewers, to accept a currency they have never seen.
LEAD has urged the government to take immediate action to address the crisis, recommending an increase in the circulation of the ZiG currency to ensure it reaches rural areas, implementing policies to boost confidence in the local currency, and providing education and awareness programs to help Zimbabweans understand the value and use of the ZiG.
The opposition party has also expressed concern that the community has lost faith in the local currency, and that the government’s attempts to paint a picture of stability are misleading. "The reality is that the local currency is not in circulation, and this has led to a severe shortage of money, exacerbating poverty among Zimbabweans," said Samkange.
LEAD has called on Zimbabweans to stand together and demand better from their leaders, urging collective effort and a willingness to listen to the voices of the people. The party is committed to working towards a solution and building a more stable and prosperous economy for all Zimbabweans.
