THE Reserve Bank of Zimbabwe (RBZ) has unveiled plans to launch newly designed ZWG notes, effectively dumping the old 'defiled' versions in a move set to trigger yet another wave of shock across the markets.
Introduced on April 5 2024, as the country's lasting solution to currency problems, the ZWG has suffered major setbacks since its inception, including the 43% devaluation in September 2024, which left the local unit's gold-backed status in question.
The currency is still in short supply, with the rural economy having very limited access to the local unit despite being the most populous. Some regions have resorted to using the rand as a medium of exchange, especially for smaller denominations in transactions.
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In the midst of another storm following the announcements that the country will adopt the ZWG as the sole currency in 2030, RBZ governor, Dr John Mushayavanhu, on Tuesday told a state-run publication that plans to launch a new version of ZWG notes were currently underway.
"The Reserve Bank is working on the modernisation of the ZiG banknote series as advised in the recent mid-term Monetary Policy Statement. The new ZiG banknotes will be redesigned, including improved quality and durability for the convenience of the transacting public.
"In this regard, the production process of the improved banknotes has progressed well and is at an advanced stage. The public will be advised of the expected roll-out at the appropriate time," he said.
Sceptics immediately took to social media platforms questioning the rationale behind the new designs, with many concluding it is a ploy to dump the failed first version.
Market watchers who anonymously spoke to our publication criticised the ghostly nature of RBZ announcements for creating more headaches than solutions.
They are of the view that the RBZ must accompany its policy announcements with finer details to avoid market speculation.
On his part, Mushayavanhu said the new notes must not be misconstrued as a new currency but just a normal routine in line with global best practices.
