Categories: Stories

ZiG kicks off week on a positive note

Zimbabwe’s currency, the ZiG, kicked off the week on a positive note after firming to 13.4823 from a low of 13.6757 a week ago.

The currency, which is just over a month old, has so far held its own despite scepticism from most Zimbabweans who still prefer the United States dollar.

Reserve Bank of Zimbabwe governor John Mushayavanhu has repeatedly stated that people will scramble for the local currency next month when quarterly tax payments are due.

The taxes are due on 25 June.

Zimbabwe has directed that half of the taxes be paid in the local currency. Taxes contribute US$300 million which means US$150 million will have to be paid in ZiG. The country has only US$80 million in local currency in circulation.

Deputy Finance Minister David Mnangagwa, one of the President’s sons, says the taxes will force companies to sell a quota of their products or services in local currency because they will not be able to raise the local currency they require from their banks.

The ZiG is currently the strongest local currency in the Southern African Development Community.

(409 VIEWS)

Charles Rukuni

The Insider is a political and business bulletin about Zimbabwe, edited by Charles Rukuni. Founded in 1990, it was a printed 12-page subscription only newsletter until 2003 when Zimbabwe's hyper-inflation made it impossible to continue printing.

Recent Posts

Indian think tank says Starlink is a wolf in sheep’s clothing

An Indian think tank has described Starlink, a satellite internet service provider which recently entered…

November 18, 2024

ZiG firms against US dollar for 10 days running but people still do not have confidence in the currency

Zimbabwe’s new currency, the Zimbabwe Gold (ZiG), firmed against the United States dollars for 10…

November 16, 2024

Zimbabwe among the top countries with the widest gap between the rich and poor

Zimbabwe is among the top 30 countries in the world with the widest gap between…

November 14, 2024

Can the ZiG sustain its rally against the US dollar?

Zimbabwe’s battered currency, the Zimbabwe Gold, which was under attack until the central bank devalued…

November 10, 2024

Will Mnangagwa go against the trend in the region?

Plans by the ruling Zimbabwe African National Union-Patriotic Front to push President Emmerson Mnangagwa to…

October 22, 2024

The Zimbabwe government and not saboteurs sabotaging ZiG

The Zimbabwe government’s insatiable demand for money to satisfy its own needs, which has exceeded…

October 20, 2024