The government of Zimbabwe is planning to implement a new round of changes to the country's currency. President Mnangagwa told the Cabinet on February 6, 2024 that the proposed changes are designed to address economic challenges facing the country."
"According to data released by the Reserve Bank of Zimbabwe, the Zimbabwean dollar has lost over 90% of its value in the last year. As a result, the USD has become the dominant currency in the country, being used in over 80% of transactions. This shift has occurred because people have lost confidence in the ZWL."
"Zimbabwe's high inflation rate continues to cause concern, with the most recent data showing a 4.7% month-on-month increase in December 2023. Compared to the previous year, inflation has risen by 26.5%. The Zimbabwean dollar is now considered to be the world's weakest currency, reflecting the country's ongoing economic difficulties.
“Prudent fiscal and monetary policies and the promotion of a conducive business environment remain critically important for the stability and growth of our economy. Accordingly, the fiscal and monetary authorities are implementing a raft of policy measures to arrest price increases, stabilize the foreign exchange rate, maintain the value of our currency, and ultimately encourage savings,” said President Mnangagwa
As part of the strategy to combat the economic challenges, the Zimbabwean government is on the verge of unveiling a series of policy measures. These initiatives aim to curb inflation, stabilize the foreign exchange rate, safeguard the value of the national currency, and encourage savings among its citizens. By instating these measures, the government seeks not only to address the immediate economic concerns but also to lay the groundwork for sustained economic growth and stability in the future.
