New Reserve Bank of Zimbabwe Governor Dr John Mushayavanhu says monetary authorities are structuring a roadmap to promote increased use of the new local currency, the ZiG.
This will be done within the context of Statutory Instrument 218 of 2023 which restored the use of the multicurrency system until 31 December 2030, and the introduction of the ZiG last Friday.
“To foster demand for the local currency, Government will make it mandatory for companies to settle at least 50 percent of their tax obligations on quarterly payments dates (QPDs) in ZiG.
The bank will continue with its strict liquidity management to mitigate against shocks that cause spikes in the exchange rate.
“Overall, the increased role of the local currency will support and sustain the current macro-economic stability and economic resilience despite the recurrence of global and domestic shocks. The Bank working in collaboration with Government will continue to provide forward guidance to the market in promoting the wide use of ZiG,” he said.
Dr Mashayavanhu said the stability of financial institutions was critical given the increased lending in foreign currency in the economy to avoid yesteryear bank non-performing loans challenges.
