THE Zimbabwe National Chamber of Commerce (ZNCC) has cautioned that the central bank faces a daunting task of maintaining the stability of the newly introduced gold-backed currency.
The southern African country, facing a currency crisis, introduced a new unit, Zimbabwe Gold (ZiG) in April.
Since 2009, Zimbabwe has been under a multi-currency system due to currency volatilities buffeting the country.
Introduction of ZiG has sparked consternation on the market, where it is trading at ZiG23 against the greenback on the black market, which is almost double the official rate.
At its inception, the currency was trading at ZiG13,56:US$1 officially.
Authorities have launched a nationwide blitz against illegal money traders, who are accused of destabilising ZiG. ZNCC president Mike Kamungeremu told the Independent that the Reserve Bank of Zimbabwe (RBZ) governor, John Mushayavanhu faces a litmus test in maintaining the stability of the new currency.
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“We find, based on previous experience, confidence is still very low,” he said.
“And as the chamber of commerce, we also took it upon ourselves to play our part in educating the people and we have actually been working with the Reserve Bank of Zimbabwe.
“What we now need to concentrate on is to make sure that the currency, this ZiG, which we have introduced does not lose value.
That is really the challenge for the new governor and all of us at the same time.”
ZNCC, Kamungeremu said, was collaborating with the apex bank to promote usage of the local unit by the general public.
“So, all that we are trying to do as the chamber of commerce is to also play our part in making sure that apart from just speaking on behalf of business, we are also making sure businesses get the right information they need and we are working hand in hand with RBZ.
“We went to Gweru with them; we met our members there, where they were unpacking the monetary policy statement, answering any questions that members had.
“We went to Mutare, the same exercise. We went to Masvingo last week with them again. The governor was there.”
Following the introduction of the new unit, the general public has raised concern over the acute shortage of physical notes and coins.