Zimbabwean President Emerson Mnangagwa on Friday pledged not to revert the use of the U.S. dollar after the country’s local currency plunged against the American bill, fueling inflation and economic challenges.
The Zimbabwean government halted the use of the dollar in June, partly to stem demand for the increasingly scarce currency.
Critics of the move have accused the government of rushing to reintroduce the Zimbabwe dollar without the backing of foreign currency reserves and say it should allow the use of U.S. dollar and other currencies to tame soaring prices.
“No progressive nation can progress without its own currency. However, we have so many among our people, who fight this decision. We will not revert back to a basket of currencies, never, never, never,” Mnangagwa told ZANU-PF members at an annual party conference outside the capital.
The Sothern African country is still reeling from years of economic downfalls experienced under former president Robert Mugabe.
Current President Mnangagwa hopes to be able to revamp his country’s economy, and he has been calling for the lifting of economic sanctions as well as a return of foreign investors.
In his speech on Friday, he said his government was pursuing difficult economic reforms, including measures to reduce the budget deficit to single digits.
He also took a swipe at the opposition for mobilizing protests earlier this year, saying they were part of a plot to derail economic reforms.
“I want to commend the people of Zimbabwe for rejecting the machinations by those with unbridled political ambitions who are even prepared to use violence, divisions and disunity and violent demonstrations to acquire power,” he said.
