Zimbabwe Central Bank refutes claims of planned return of local currency

The Governor of the Reserve Bank of Zimbabwe, John Mangudya, on Wednesday said there were no immediate plans to re-introduce the local currency.

The comments come following widespread talk on social media purpoting the government had plans to pump the Zimbabwean dollar back into the market.

A letter supposedly written by deputy minister of finance Terrence Mukupe to “all citizens and line ministries” went viral on social media, saying that the government had resolved to revert to the use of the local currency with effect from 9 July.

Mukupe has however dismissed the letter as a fake, saying it is an attempt to smear his character.

Mangudya weighed in Wednesday dismissing the social media messages and accusing illegal foreign currency dealers of trying to cause confusion in the economy.

“Members of the public should ignore the social media article which has apparently been created and circulated by people who seem bent on manipulating parallel market rates for personal gain at the expense of the unsuspecting members of the public.

“The article is also calculated to cause unnecessary anxiety, panic, alarm and despondency within the national economy,” he said.

He gave assurances that the country would continue to use the multi-currency system in line with government policy.

Zimbabwe has a multi-currency basket comprising the Euro, U.S. dollar, British Pound, Australian dollar, Canadian dollar, Chinese yuan, Indian rupee, South African rand and Botswana pula, although the more tradable currencies are the U.S. dollar and the rand.