ZiG gaining public confidence, RBZ

THE Reserve Bank of Zimbabwe (RBZ) has said confidence in the Zimbabwe Gold (ZiG) currency continues to grow as the economy records major milestones in price and exchange rate stability, with the local currency increasingly being used as a store of value and medium of exchange.

Speaking during the recent Zanu-PF Matabeleland North provincial inter-district meeting at the party’s provincial offices in Lupane, RBZ’s Bulawayo regional office general manager Mr Kasanda Sibanda said the country has witnessed significant progress since the introduction of ZiG in April 2024.

Mr Sibanda said the structured currency helped restore monetary stability and public confidence in the economy.

“Following the call in late 2023 by His Excellency, the President of the Republic of Zimbabwe for the Reserve Bank to come up with a structured currency, the RBZ governor, Dr John Mushayavanhu, launched Zimbabwe Gold (ZiG),” he said.

The ZiG is backed by strong reserves comprising foreign currency and minerals such as gold, platinum, diamonds, lithium and nickel.

“The currency was backed by foreign exchange reserves comprising foreign currency cash and minerals such as gold, platinum, diamonds, lithium and nickel in the form of royalties paid,” said Mr Sibanda.

He said since the introduction of ZiG, the country had registered remarkable economic improvements, particularly in reducing inflation and stabilising the exchange rate.

“Since the introduction of the ZiG in 2024, the economy has registered significant milestones,” he said.

Mr Sibanda said annual ZiG inflation had drastically declined from peak levels of 95,8 percent in July 2025 to single-digit levels early this year.

“Notably, the economy witnessed a progressive disinflation trend as evidenced by the significant decline in annual ZiG inflation from peak levels of 95,8 percent in July 2025 to low single-digit levels of 4,15 percent in January 2026, 3,8 percent in February 2026, before an uptick to 4,36 percent in March 2026 and 4,84 percent in April 2026 on a year-on-year basis,” he said.

Mr Sibanda said prudent monetary policy measures by the RBZ had contributed to exchange rate stability and improved confidence in the local currency.

He revealed that foreign currency inflows reached US$16,2 billion in 2025, driven mainly by strong exports and diaspora remittances.

“The foreign exchange market has been supported by strong foreign currency inflows, which reached US$16,2 billion in 2025. The strong foreign currency inflows were mainly driven by exports of gold, tobacco and platinum group metals on account of both firm international commodity prices and increased production,” said Mr Sibanda.

He added that Zimbabwe’s current account surplus had significantly improved from US$500 million in 2024 to US$2,1 billion in 2025.

“Reflecting improved performance in the trade account and resilient diaspora remittances, the current account balance improved noticeably from a surplus of about US$500 million in 2024 to US$2,1 billion in 2025,” said Mr Sibanda.

Mr Sibanda also outlined Government and central bank efforts to promote the wider use of ZiG through nationwide awareness campaigns and stakeholder engagements.

“The Reserve Bank continues to promote the increased usage of ZiG in the economy through various measures such as outreach and awareness campaigns. Furthermore, the Reserve Bank will continuously engage the Government to promulgate legislation to promote payment of taxes in ZiG,” he said.

Mr Sibanda said the consistency and predictability of monetary policy reforms were improving confidence in the central bank and the local currency.

“The consistency, certainty and predictability on monetary affairs continue to improve confidence, trust and policy credibility in the Reserve Bank and the local currency, the ZiG,” he said.

Mr Sibanda said the upgraded “Big Five” ZiG banknotes reflected Zimbabwe’s heritage and national identity.

“The upgraded banknotes were designed to reflect modern banknote standards while affirming Zimbabwe’s national identity and heritage. The Big Five ZiG banknotes featured motifs derived from real-life Zimbabwean landmarks and wildlife selected to reflect the country’s cultural diversity, values and identity,” he said.

The RBZ also conducted a nationwide ZiG education and awareness campaign between March 1 and 31 this year, covering all the country’s 10 provinces.

“The teams directly engaged over 1,5 million people countrywide. In Matabeleland North province alone, our teams interacted with 69 251 people across seven districts,” said Mr Sibanda.

He said more than 22 000 ZiG-themed educational materials were distributed across the province, including posters, brochures, calendars and T-shirts.

Mr Sibanda said feedback gathered during the outreach programmes would help shape future monetary policy.