RBZ governor Mushayavanhu presents Mid-term Monetary Policy statement

The Reserve Bank of Zimbabwe (RBZ) governor John Mushayavanhu has presented his Mid-term Monetary Policy statement.

The Mid-Term Monetary Policy Review Statement is issued in terms of Section 46 of the Reserve Bank Act [Chapter 22:15].

He said the Monetary Policy Statement comes when the economy is experiencing relative price and currency stability after introducing a structured currency, the Zimbabwe Gold (ZiG) on the 5th of April 2024.

The Statement seeks to evaluate the performance and effectiveness of the monetary policy measures outlined in the April 2024 Monetary Policy Statement, he said.

“This Review Statement also pronounces the monetary policy stance to be pursued by the Reserve Bank in the next six-month period (July-December 2024).

“2. Commendably, the transition to the ZiG currency and the adoption of a market-determined foreign currency system were seamless with no disruption to business and loss of real value to the transacting public. This has helped to build confidence and fostered the much-needed credibility in the new currency.

“Consequently, the ZiG has been overwhelmingly embraced by the transacting public, with the results from the recent perception survey showing over 90% acceptance nationwide.

“3. The Reserve Bank has been ‘walking the talk’ of a strong commitment to ensuring that the ZiG is fully covered by a composite basket of reserves comprising foreign currency (cash and nostro deposits) and precious metals (mainly gold).

More details shortly…