Source: Public support for ZiG grows amid calls for enhanced supply – herald
Nqobile Bhebhe
Zimpapers Business Hub
ZIMBABWEANS countrywide have implored the Government to increase the circulation of the Zimbabwe Gold currency, which has been roundly commended for its stability and restoration of business stakeholder confidence.
A strong domestic currency is regarded as the lifeblood of a sound economy and economists are convinced that Zimbabwe’s monetary authorities got it right as evidenced by stability and growing demand for the local unit.
Government has since signalled the intention to gradually de-dollarise the economy and is targeting a return to a domestic mono-currency by 2030.
The quest for increased local currency circulation topped discussions at the ongoing 2026 National Budget consultations in Bulawayo, which are being hosted by the Parliamentary Portfolio Committee on Budget, Finance and Investment Promotion.
In his brief to delegates on outcomes of the pre-budget seminar, Committee chairperson, Mr Lincoln Dliwayo, said participants from across the country expressed satisfaction with the stability of the local currency, while emphasising the need for measures to make it more accessible.
Mr Dliwayo said the consultations also touched on the success of current monetary and exchange rate reforms, which have been embraced by a diversity of business leaders.
“Some of the areas that were highlighted concerned the current reforms and exchange rate stability. The public appreciated the efforts by the Government in ensuring that the local currency, our ZIG, is stable,” he said.
Mr Dliwayo, however, said most participants raised concerns over the limited supply of the ZiG in some parts of the country, especially border towns.
“They also echoed the need to ensure that there is an improved and carefully managed injection of the ZiG in the economy, especially in those areas in border towns and other areas where it is in short supply,” he said.
Mr Dliwayo said that some citizens have expressed concern over the rejection of the ZiG in informal markets and certain localities.
“So, the ministry needs to increase support for some fiscal measures that will promote the acceptance of the ZiG in those towns,” he added.
While some participants suggested enforcement measures to ensure wider acceptance, Mr Dliwayo said authorities have shown preference for a more persuasive approach.
“Some citizens also highlighted the need to enforce the acceptance of the ZiG in some areas, though I, in my personal capacity as chairperson, am against the enforcement, but rather moral persuasion so that people accept it on their own,” he said.
Speaking at the same event, Reserve Bank of Zimbabwe Deputy Governor, Dr Innocent Matshe, said the border towns have traditionally been flooded by foreign currency.
“On the lack of the ZiG in border areas, the truth of the matter is with or without the local currency in its current form, the border areas always had a mixture of currencies. For instance there were rands in Beitbridge,” he said.
“However, the local currency is being used in its electronic format in all areas, including border areas. We have a lot of work to educate citizens in the issue of stability and what the ZiG means to them. Progress has been made with our banks and as of July this year, only one bank was issuing the ZiG through ATM,” said Dr Matshe.
“But as of yesterday (Tuesday) 24 banks are issuing the ZiG through ATMs, meaning we have two banks that are outstanding and we are working with those banks to make sure that all banks make the ZiG available in their ATMs.”
He reiterated that the RBZ is not in favour of forced acceptable of the ZiG by the transacting public.
“If you are in business or employed and you receive the ZiG, it’s a big mistake to convert that ZiG to US dollars. You will lose value and money, use the ZiG as it is. But what I can say is, never make a mistake of offloading your ZiG to foreign currency. You will lose money in terms of value,” said Dr Matshe.
He said the Central Bank continues to fulfil its mandate of promoting a stable macro-economic environment through maintaining price, currency and exchange rate stability. This role, he said, remains critical in realising Zimbabwe’s national aspiration of attaining upper middle-income status by 2030.
The journey towards Vision 2030 is guided by the National Development Strategy 2 (NDS2) for the period 2026–2030, which the forthcoming 2026 National Budget seeks to operationalise.
Stakeholders also noted the need to tirelessly disburse funds and also ensure that the disbursement matrix is in favour of the marginalised and vulnerable groups, said Mr Dliwayo.
He said citizens also underscored the importance of ensuring that the allocation of resources reflects grassroots priorities in line with the country’s developmental agenda.
“The participants also highlighted the need to ensure that the resource allocation reflects the grassroots priorities and promotes equitable distribution, and equitable growth throughout the country as we progress toward achievement of Vision 2030,” said Mr Dliwayo.
The 2026 National Budget consultations are part of Government’s wider engagement efforts to ensure citizen participation in national economic planning as the country works towards achieving Vision 2030 goals of an upper middle-income economy.
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