Chinamasa tells Parliament that bond notes are above board

Chinamasa said the bond notes were simply an extension of the bond coins, and being introduced to address a cash crisis.

“You must not forget that what triggered the measures announced last week was a cash crisis and cash has to do with monetary authorities,” the Finance Minister said.

“If there is no money in the banks, it’s not the minister who should announce measures to deal with those issues; it’s the governor because he is dealing with the financial systems.”

Chinamasa said he had stayed out of the bond notes debate for fear of politicising the issue.

“It is very important that people look at those announcements on their own merit and not as if it’s a political measure,” he told the Parliamentarians.

“The rationale of those opposing bond notes, I don’t understand it, there is no difference with the coins.”

Like the bond coins, the RBZ has said the bond notes will have 1:1 exchange rate with the United States dollar.- The Source

Q and A:

HON. CHAMISA: Thank you very much. I think just as a question that is arising from what has been asked by the Hon. Member, considering the fact that Hon. Minister, the Governor is not the Government he is part of the Government. Considering the fact that the Governor is not the Minister, is the policy that was announced by the Governor lawful? Considering the fact that the Public Finance Management System and the Act itself is very clear about what the Minister is supposed to do and what the Governor should do. The Minister is supposed to come to Parliament if there is any borrowing. Now we understand that the Bonds are coming on the back of US$200 million which is a borrowing in itself and that raises some legal issues. Not only that, the Minister is the only one who is supposed to then come to Parliament with such a measure, and not the Governor. Now, under these circumstances where there is an apparent illegality, what is the view of the Minister?

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