New 1c coin out next week

The Herald, 15 May, 1981

FROM Wednesday a new Zimbabwe one cent piece will replace the existing coin, and more new coins will be introduced next month, the Reserve Bank announced yesterday.

New 5c, 10c and 20c coins will replace existing ones from June 22.

Colour pictures of the new money were displayed in posters and handouts issued yesterday by the Reserve Bank.

The new coins will all be smaller than the old ones, but will have the same cash value, the handout said. The public may continue using the old coins until they are eventually withdrawn.

The Reserve Bank yesterday took the unusual step of putting out a statement insisting that recently-issued currency was valid in spite of rumours to the contrary.

There has been speculation for some weeks that the bank would not honour the new $10 note and 50c coin because no dollar sign appeared on the back of the note and no cent sign on the coin.

In the light of these “growing rumours”, the statement said, the Reserve Bank found it necessary to state “unequivocally” that the new notes and coin were legal tender and would not be withdrawn. The new notes and coin had been meticulously planned, and deliberately designed without the dollar and cent sign.

The bank points out that no currency sign appears on either side of notes issued in Britain, Switzerland, the Soviet Union, France, and the United States, “to name but a few countries”.

LESSONS FOR TODAY

The introduction of new things like the structured currency can create apprehensions, but if well managed, it will soon be water under the bridge. The reactions about the ZiG currency are like what happened in 1970 when the Rhodesian dollar came into circulation; and, in 1981 when the Zimbabwe Government introduced new dollar notes and coins.

The issuance of the ZiG currency offers valuable insights into economic management, financial stability, and policy reforms that can guide future decision-making processes in Zimbabwe and other countries facing similar circumstances.

The primary lessons from the issuance of the new ZiG currency is the importance of maintaining economic stability and controlling inflation. The introduction of the new currency signifies an attempt to regain control over monetary policy and stabilise the economy.