RBZ Governor Clarifies Mono-Currency Plan, Rules Out Forced Conversion Of US Dollar Savings
Zimbabweans holding US dollar balances will not be forced to convert their savings into ZiG when the country eventually moves to a mono-currency system, the Reserve Bank of Zimbabwe (RBZ) has said.
RBZ Governor Dr John Mushayavanhu moved to calm concerns surrounding the planned currency transition, explaining that the switch will only happen after the economy meets key stability targets and gains public confidence.
According to Dr Mushayavanhu, the goal is to reach a point where businesses and consumers are equally comfortable receiving payments in either the Zimbabwe Gold (ZiG) currency or the US dollar.
Also Read: RBZ Sets Key Milestones for Transition to Mono-Currency ZiG Use by 2030
No Forced Conversion of Foreign Currency
The RBZ governor dismissed fears that foreign currency account (FCA) balances would be compulsorily converted into ZiG when the country eventually adopts a mono-currency system.
He said holders of US dollar accounts and cash would retain their funds, while contracts already signed in foreign currency would continue to be honoured in the same currency in which they were agreed.
Dr Mushayavanhu questioned why confusion continued to surround the policy, maintaining that the central bank’s position had remained consistent.
Domestic Payments To Be Made In ZiG
While existing foreign currency balances and contracts will remain intact, the governor explained that local transactions will eventually have to be settled in ZiG once the mono-currency framework is introduced.
For example, consumers who hold US dollars in their bank accounts but wish to buy everyday items locally would first need to exchange those funds into ZiG through banks or licensed bureaux de change before making payments.
The measure, he said, is intended to ensure that domestic commerce operates using the local currency while still allowing people to retain their foreign currency holdings.
Transition Tied To Economic Stability
The RBZ continues to insist that Zimbabwe’s return to a single currency will only happen after a number of economic targets have been met under the National Development Strategy 2 (NDS2).
These conditions include achieving sustained single-digit inflation, maintaining adequate foreign currency reserves and strengthening confidence in the local currency.
The central bank’s 2026-2030 Strategic Plan adopts a conditions-based approach, with officials saying progress has already been made towards meeting the benchmarks needed before the country can fully transition to a mono-currency system.
The post RBZ Governor Rules Out Forced Conversion Of US Dollar Savings Into ZiG During Mono-Currency Transition appeared first on iHarare News.
